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2017 (6) TMI 1391 - AT - Income TaxBook profits computation u/s115JB - debenture redemption reserve - whether it is not a ‘reserve’ within the meaning of explanation 1(b) of the section 115JB? - HELD THAT:- In our considered opinion, having regard to the judgment of Raymond Ltd. (2012 (4) TMI 127 - BOMBAY HIGH COURT] as well as the decision JSW Energy (2013 (7) TMI 192 - ITAT MUMBAI] the impugned issue is no longer res integra. In the case of JSW Energy (supra), the Tribunal was considering the deductibility of the amount set apart as Debenture Redemption Reserve for the purposes of computing the book profits u/s 115JB of the Act. After detailed discussion, it has been held that adjustment of the amount of Debenture Redemption Reserve made while computing the book profits u/s 115JB of the Act is permissible and is within the purview of the law. The decision of CIT(A) is in consonance with the aforesaid legal position and even before us, no contrary decision has been brought out by the Revenue and as a consequence, we hereby affirm the decision of CIT(A) on this aspect. Thus, the Revenue fails in its appeal.
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