https://www.taxtmi.com/caselaws?id=13956 In computing "book profit" under s. 115J, the HC held that additions to net profit under Explanation cl. (c) require a clear factual finding that the provision represents an unascertained liability; absent any such finding or supporting material by the AO or first appellate authority, a provision for statutory employee bonus could not be treated as unascertained, so its disallowance and addition were unsustainable. On foreign exchange fluctuation, s. 115J mandates adopting net profit as per the profit and loss account prepared under the Companies Act, subject only to specified adjustments; since the Tribunal found the amount was already debited in the accounts, the Department could not add it again. The question was answered in favour of the assessee and against the Department. en-us Thu, 08 Feb 2001 00:00:00 +0530 Mon, 05 Jan 2026 20:51:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=13956 In computing "book profit" under s. 115J, the HC held that additions to net profit under Explanation cl. (c) require a clear factual finding that the provision represents an unascertained liability; absent any such finding or supporting material by the AO or first appellate authority, a provision for statutory employee bonus could not be treated as unascertained, so its disallowance and addition were unsustainable. On foreign exchange fluctuation, s. 115J mandates adopting net profit as per the profit and loss account prepared under the Companies Act, subject only to specified adjustments; since the Tribunal found the amount was already debited in the accounts, the Department could not add it again. The question was answered in favour of the assessee and against the Department. Case-Laws Income Tax Thu, 08 Feb 2001 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=13956