https://www.taxtmi.com/caselaws?id=326138 The Tribunal ruled in favor of the assessee, holding that the reduction of provisions from debtors did not attract Explanation to Section 115JA(2) of the Income Tax Act. The Tribunal emphasized the need to reduce bad debt from loans and advances to compute book profit correctly. The High Court dismissed the appeal, citing a previous decision, but allowed the revenue to proceed further if the Apex Court differed. The judgment underscores the significance of adhering to accounting standards and tax provisions when treating provisions in the balance sheet and debiting the P & L account. en-us Thu, 10 Mar 2016 00:00:00 +0530 Thu, 07 Apr 2016 10:20:19 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=326138 The Tribunal ruled in favor of the assessee, holding that the reduction of provisions from debtors did not attract Explanation to Section 115JA(2) of the Income Tax Act. The Tribunal emphasized the need to reduce bad debt from loans and advances to compute book profit correctly. The High Court dismissed the appeal, citing a previous decision, but allowed the revenue to proceed further if the Apex Court differed. The judgment underscores the significance of adhering to accounting standards and tax provisions when treating provisions in the balance sheet and debiting the P & L account. Case-Laws Income Tax Thu, 10 Mar 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=326138