https://www.taxtmi.com/caselaws?id=177067 The court held that doubtful loans written off as bad debts and subsequently credited to the profit and loss account could be deducted from book profits under Section 115JB. It clarified that such deductions are permissible if the reserve was created after April 1, 1997, and not by way of debit to the profit and loss account. Regarding the action under Section 263, the court found that the Commissioner was not justified in invoking it as the Assessing Officer's order was not both erroneous and prejudicial to the interest of revenue. The court affirmed the ITAT's findings, dismissing all appeals. en-us Sat, 24 May 2014 00:00:00 +0530 Sat, 02 Jan 2016 10:14:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=177067 The court held that doubtful loans written off as bad debts and subsequently credited to the profit and loss account could be deducted from book profits under Section 115JB. It clarified that such deductions are permissible if the reserve was created after April 1, 1997, and not by way of debit to the profit and loss account. Regarding the action under Section 263, the court found that the Commissioner was not justified in invoking it as the Assessing Officer's order was not both erroneous and prejudicial to the interest of revenue. The court affirmed the ITAT's findings, dismissing all appeals. Case-Laws Income Tax Sat, 24 May 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=177067