TaxTMI 
TaxTMI 
2020 (12) TMI 51
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....e appeal was admitted by a bench of this Court vide order dated 28.03.2012 on the following substantial questions of law: (i) Whether the tribunal was correct in holding that whether the appellate authority were correct in holding that maintenance of separate accounts for STP units and non STP units was only directory and not mandatory in accordance with RBI conditions, Government Notification and Income Tax Act? (ii) Whether the Appellate Authority were correct in holding that payments made to sub contractors who have separately exported and have been issued foreign inward remittance certificate and have also claimed 10A deduction will also be entitled to double deduction under Section 10A of the Act in hands of the assessee? ....
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....satisfied itself with the aforesaid requirement and therefore, the matter deserves to be remitted to the tribunal. On the other hand, learned Senior counsel for the assessee has invited our attention to the compilations filed before the tribunal and has invited our attention to the details of the debts written off by the customers and has relied on the judgments in 'T.R.F. LTD. VS. COMMISSIONER OF INCOME-TAX', (2010) 323 ITR 397 (SC) and decisions of this court in 'COMMISSIONER OF INCOME-TAX, CENTRAL CIRCLE VS. FUSION SOFTWARE ENGG. (P.) LTD.', (2012) 18 TAXMANN.COM 57 (KARNTAKA), 'COMMISSIONER OF INCOME TAX, BANGALORE VS. MILENNIA DEVELOPERS (P.) LTD.', (2018) 100 TAXMANN.COM 369 (KARNATAKA). 3. We have heard the l....
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....und that the debt has not been established to have become irrecoverable. The aforesaid position is also supported by the amendment made to S.36(2) w.e.f.1st April 1989 and any doubt, if remaining, has been clarified by Circular No.551 dated 23rd January, 1990. (iii) The Hon'ble Bombay High Court, in the case of CIT vs. Star Chemicals (Bombay) P. Ltd. reported in (2009) 313 ITR 126 (Bom), in its wisdom had held that "under Section 36(1)(vii) of the Income Tax Act, 1961 and Circular No.551 dated January 23, 1990 if the assessee had written off the debt as a bad debt that would satisfy the purpose of the Section." (iv) The Hon'ble highest judiciary of the land in its recent verdict in the case of T.R.F. ltd. Vs. CIT reported in (....