2015 (7) TMI 717

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... JUDICIAL MEMBER:- This appeal of the Assessee is directed against the order of the Ld. Commissioner of Income Tax (Appeals)-I, Surat dated 10.03.2010. 2. The Assessee has raised the following grounds of appeal:- "1. In view of the facts and circumstances of the case, the Ld. CIT(A) ought to have held that the Ld. A.O. has erred in disallowing the claim of Bad Debts of Rs. 13,18,904....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....he assessment under section 143(3) of the Income Tax Act, 1961 (hereinafter refer to as the Act) disallowed the claim of the assessee of bad debt. The assessee carried the matter before the Ld. CIT(Appeals) who after considering the submissions of the assessee affirmed the disallowance. Against this assessee is in appeal before this Tribunal. Ld. Counsel for the assessee submitted that the AO as w....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....urt has held in the case of T.R.F. Ltd. Vs. Commissioner of Income Tax that in order to obtain a deduction in relation to bad debt it is not necessary for the assessee to establish that the debt, in fact, has become irrecoverable. It is enough if the debt is written off as irrecoverable in the accounts of the assessee. In the present case, the assessee has written off as irrecoverable bad debt in ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ers of the authorities below. 7. We have the rival submissions and perused the material available on records. It is not disputed by Revenue that in A.Y. 2005-06 the assessee was allowed to treat the closing stock of earlier year as opening stock of next year. It is well settled that the closing stock of earlier becomes the opening stock of succeeding year. In this view of matter, and examining ....