2015 (6) TMI 1064

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....nue through its grounds of appeal has contested the decision of the Ld. CIT(A) in allowing the claim of bad debts written off. 2. The facts of the case are that the assessee is engaged in the business of Cable Operator and ISP service provider. In earlier assessment year i.e. A.Y.2009-10 the assessee had debited provision for doubtful debts of Rs. 36,00,000/- in P&L account. Later this provision for doubtful debts was disallowed by the assessee by filing return of income. In the assessment year under consideration i.e. A.Y. 2010-11 the assessee debited Rs. 30,00,000/- as provision for doubtful debts in P&L account. This amount was not disallowed while filing the return of income. The assessee during the year had written off bad debts for R....

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....s issue has come into consideration of Bombay High Court in the case of CIT vs. Pruthvi Brokers & Shareholders P. Ltd. 349 ITR 336 relying on a three judge bench decisions of Supreme Court in national Thermal Power Co. Ltd. vs. CIT 229 ITR 383, CIT vs. Kanpur Coal Syndicate 53 ITR 225 and Jute Corporation of India vs. CIT 187 ITR 688 and distinguishing toe judge bench decision of Supreme Court in Goetze (India)P Ltd. vs. CIT 284 ITR 323 where in it is held that "even assuming that the Assessing Of is not entitled to grant a deduction on the basis of a letter requesting an amendment to the return filed, the appellate authorities are entitled to consider the claim and to adjudicate the same. It is not necessary that the deduction be allowed o....

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....ordinate authority, has all the powers which the original authority may have in deciding the questions before it, subject to the restrictions or limitations, if any, prescribed by statutory provisions. In the absence of any statutory provision, the appellate authority is vested with all the plenary powers which the subordinate authority may have in the matter. An assessee is entitled to raise not merely additional legal submissions before the appellate authorities but is also entitled to raise additional claims before them. The appellate authorities have the discretion whether or not to permit such additional claims to be raised. It cannot, however, be said that they have no jurisdiction to consider the same. The appellate authorities have ....