2007 (7) TMI 674

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... By way of the present appeal, Revenue has challenged the impugned order dated 8th September, 2006 passed by Income Tax Appellate Tribunal (for short as 'Tribunal') in IT Appeal No. 2349/Del/2002 for the Assessment Year 1998-99, vide which the claim of the Assessee was allowed under Section 36(1)(vii) read with Section 36(2) of the Income Tax Act, 1961 (for short as 'Act'). 2. The....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....t since there is possibility of revering the bad debts, the claim is not allowable. 3. The Assessee field an appeal against the order of Assessing Officer. The Commissioner of Income Tax (Appeal) found no justification in the disallowance of the claim of the had debts so made by the Assessing Officer and accordingly the same was directed to be deleted. 4. Aggrieved with the order passed by the C....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....isions of Sections 36(2) have not been satisfied in this case. 6. As per provisions of Section 36(1)(vii) of the Act, as amended w.e.f. 1st April, 1989, the Assessee is not required to establish that the concerned debt has actually become bad in the relevant year for the purpose of claiming deduction under the section and the only requirement for claiming this deduction is that the Assessee has t....