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2016 (5) TMI 708 - ITAT PUNESundry balances written off - AO disallowed the same on the ground that assessee could not establish the genuineness of the amount written off - CIT(A) allowed the claim relying on the decision of Hon’ble Supreme Court in the case of TRF Ltd.[2010 (2) TMI 211 - SUPREME COURT ] - Held that:- Held that:- No infirmity in the order of the CIT(A). We find before CIT(A) the assessee had submitted that the amounts were taken into account while computing the profit of earlier year. In the assessment order although the AO has asked the assessee to prove the genuineness of the claim of bad debt, he has never put any question regarding taking of the amounts written off as bad debt as income of earlier years. Therefore, the grounds raised by the revenue at this juncture on the issue of taking the amount as income in preceding years in our opinion is without any merit. Nothing has been brought on record by the revenue that assessee has not taken into consideration the said amounts in the income of the preceding assessment order. Since the assessee in the profit and loss account has written off the amount, therefore, in view of the decision of Hon’ble Supreme Court in the case of TRF Ltd. (Supra) assessee is not required to establish that the debt has become irrecoverable. Therefore, the Ld.CIT(A) is justified in deleting the disallowance. - Decided against revenue
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