2007 (10) TMI 628

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....6 passed by the Income-tax Appellate Tribunal (Tribunal) in ITA Nos. 3121 /Del/2004 and 3426/Del/2003 relevant for the asst. yrs. 2000-01 and 2001-02 respectively. 2. The assessed had made a provision for bad and doubtful debt to the extent of Rs. 87,26,210. According to the AO, this provision was not for an ascertained liability. He therefore added the amount to the assessed's book profits....

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....and Services IT Appeal No. 56 of 2007 decided on 18th May, 2007 taken the consistent view that a provision for bad and doubtful debts is, in the context of Section 115JA of the Act, a provision for an ascertained liability. 6. Notwithstanding this, learned Counsel for the Revenue sought to contend that since in the subsequent asst. yr. 2000-01 the assessed had written off bad debts only to an e....

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....fits as defined in that section. If the argument of learned Counsel for the Revenue is accepted, namely, that the writing off of bad debts in a subsequent year should be considered, then there will be no finality to the assessment orders that are passed. In our view, this matter is covered by the aforementioned decisions of this Court and we find no ground to differ from them. No substantial quest....