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2016 (11) TMI 880 - AT - Income TaxAddition made towards sundry balances written off - Held that:- As find that assessee has initially not produced any details before the Assessing Officer but it was produced only before the CIT(A) and CIT(A) has not entertained these details in the absence of proper explanation. In our considered view, as these details were not there before the Assessing Officer, it should go back to the Assessing Officer for afresh adjudication and the assessee should produce all these details before the Assessing Officer, especially when it was contested that these amounts were already offered as income and by this addition it will be a double taxation. Thus, we restore the matter to the file of Assessing Officer who shall examine the claim of assessee afresh in accordance with law after providing assessee adequate opportunity of being heard. Regarding the amount written off paid to Federal Express India (P) Ltd. towards courier charges, we do not find a valid reason for not allowing such write off when such expenses were incurred for business of the assessee which is not in dispute. Hence, we direct the Assessing Officer to delete the disallowance Disallowance of deposits written off - business loss or bad debts -Held that:- Security deposit which was written off by the assessee should be allowed as business loss. Thus, we direct the Assessing Officer to delete the addition. See case of Fab India Overseas P. Ltd. vs. ACIT [2013 (9) TMI 301 - ITAT DELHI ]wherein held that the above loss is a business loss ;for the reason that the assessee has taken on lease many premises spread over many parts of the country, and this act of taking this show room on lease is in the normal course of business.
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