TMI Blog2020 (5) TMI 145X X X X Extracts X X X X X X X X Extracts X X X X ..... y the decision of this Court in the case of Commissioner of Income Tax Vs. Kirloskar Systems Limited [ 2013 (12) TMI 9 - KARNATAKA HIGH COURT] wherein this Court has held that no addition be made to the profit as per the profit and loss account by invoking clause (i) or (c) of Explanation 1 to Section 115JB of the Act in a case where there is a corresponding reduction of the sum debited to th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at, the assessee is a company and had filed its return of income declaring the total income of ₹ 5,24,148/- for the assessment year 2009-2010. On going through the details, it was observed that the assessee Company has debited a sum of ₹ 14,50,66,593/- towards provision for bad and doubtful advances and the same was added while computing income under the normal provision. But while com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... llowing the claim as bad debts though it was not in consonance with the accounts approved under the Companies Act, 1956, for the purpose of computing book profit under Section 115JB of the Act. It is further submitted that the Tribunal also erred in not appreciating the fact that the assessee had complied with the stipulations stated in Schedule VI Part I to the Companies Act, 1956. 4. On the o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l for the parties and perused the records. 6. From the perusal of the impugned order passed by the Tribunal, in particular paragraph No.16 of the impugned order, it is evident that the Tribunal has decided the issue in the light of the decision of this Court in the case of Commissioner of Income Tax Vs. Kirloskar Systems Limited reported in 220 Taxman 1 (Kar), it can be held that the contro ..... X X X X Extracts X X X X X X X X Extracts X X X X
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