https://www.taxtmi.com/caselaws?id=408701 The Tribunal allowed the appeal in favor of the assessee, directing the Assessing Officer to permit the deduction under section 36(1)(viia) for the provision for bad and doubtful debts. The Tribunal emphasized the distinction between a provision and a reserve, determining that the amount debited to the Profit & Loss account constituted a provision eligible for deduction. Compliance with Sec 36(1)(viia) was found to be met, supported by the revised Profit & Loss Account and in accordance with the legal interpretation provided by a relevant High Court decision. The decision aligned with the precedent in CIT Vs. Vijaya Bank, resulting in a favorable outcome for the assessee. en-us Mon, 19 Apr 2021 00:00:00 +0530 Sat, 19 Jun 2021 10:18:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=408701 The Tribunal allowed the appeal in favor of the assessee, directing the Assessing Officer to permit the deduction under section 36(1)(viia) for the provision for bad and doubtful debts. The Tribunal emphasized the distinction between a provision and a reserve, determining that the amount debited to the Profit & Loss account constituted a provision eligible for deduction. Compliance with Sec 36(1)(viia) was found to be met, supported by the revised Profit & Loss Account and in accordance with the legal interpretation provided by a relevant High Court decision. The decision aligned with the precedent in CIT Vs. Vijaya Bank, resulting in a favorable outcome for the assessee. Case-Laws Income Tax Mon, 19 Apr 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=408701