TMI Blog2019 (3) TMI 1654X X X X Extracts X X X X X X X X Extracts X X X X ..... advances made by the rural branches of such bank computed in the prescribed manner. Issue as decided in own case in the favour of assessee as relying on THE LITTLE KANCHEEPURAM CO OPERATIVE URBAN BANK LTD. [ 2013 (3) TMI 787 - ITAT CHENNAI] - ITA No.743/Del/2016 - - - Dated:- 28-3-2019 - SHRI BHAVNESH SAINI, JUDICIAL MEMBER AND SHRI O.P. KANT, ACCOUNTANT MEMBER For the Appellant : Shri Vivek Gupta, CA For the Respondent : Shri Surender Pal, Sr.DR ORDER PER O.P. KANT, A.M.: This appeal by the assessee is directed against order dated 02/10/2015 passed by the Ld. Commissioner of Income-tax (Appeals)-1, Gurgaon [in short the Ld. CIT(A) ] for assessment year 2010-11, raising fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... On further appeal, the Ld. CIT(A) dismissed the appeal of the assessee rejecting the grounds raised. Aggrieved, the assessee is in appeal before the Tribunal raising the grounds as reproduced above only on the issue of disallowance of deduction under section 36(1)(viia) of the Act to the extent of ₹ 68,91,000/- . 3. We have heard both the parties on the issue in dispute. In the case, the assessee is a rural cooperative bank and entitled for deduction under section 36(1)(viia) of the Act in respect of provision for bad and doubtful debt. The said provision has specified the limit of deduction which could be allowed to the eligible assessee. Under the provisions, the deduction in respect of any provision for bad and doubtful ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iew of the Rules, the assessee computed the amount of provision as under: (Amount in thousands) S.No. Particulars Balance O/s Amount of Provision 1. Standard Advances 14751401 6891 2. Sub Standard Adv. 110097 6572 3. Doubtful Adv. 58065 11664 4. Loss Assets 10556 1647 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (l)(viia) is neither limited to the quantum of bad debts in the books nor is computed with reference to the quantum of standard assets and the deduction in this clause refers to allowable provisions of anticipated default on the loans and advances made in respect of total assets including standard assets and the claim of the assessee does not fall into the proviso to section 36(l)(viia) as the proviso deals with further deduction for provisions on bad and doubtful debts. Hence, we find that the orders of the authorities below cannot be sustained and the addition of ₹ 84,70,000/- is directed to be deleted. 7. As the issue in dispute involved in the year under consideration is identical to the issue in the appeal of the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X
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