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2012 (8) TMI 575 - ITAT AHMEDABADDisallowance on account of employer’s contribution to ESI – alleged that assessee company had not paid employers’ contribution before the due date prescribed – Held that:- Assessee paid the amount in question in the financial year relevant to the assessment year under appeal - when the liability is crystallized and the amount is paid, deduction shall have to be allowed in favour of the assessee as per the provisions of law and further the claim of the assessee should be allowed even with the help of section 43B of the Income-tax Act – disallowance deleted - appeal of the assessee is allowed Disallowance on account of bad debts written off – Held that:- Amount in question has been written off as bad debt in the profit and loss account of the assessee as irrecoverable - it is not necessary for the assessee to establish that the debt, in fact, has become irrecoverable - It is enough if the bad debt is written off as irrecoverable in the accounts of the assessee - assessee has satisfied the requirements of section 36(1)(vii ) of the Income-tax Act – addition deleted – In favor of assessee Disallowance of expenses claimed as export commission – Held that:- Assessee explained the reasons for inflating the commission which was due to mainly inflating the prices in the invoices - authorities below merely compared the commission with the preceding assessment year and rejected the claim of the assessee – CIT has not given any finding on the matter in controversy in the light of the submissions of the parties and documentary evidences available on record -commission cannot be disallowed by comparing with the earlier years due to the explanation of the assessee supported by documents – matter remanded to CIT - appeal of the assessee is allowed for statistical purposes
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