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2015 (8) TMI 1199 - ITAT CHENNAIContingent liability disallowed - Held that:- Provision should be made for all known liabilities and losses even though the amount cannot be determined with certainty. In this case, the assessee is not disputing the liability at all. The assessee is disputing only quantification of demand raised by the electricity board. Therefore, in our view incurring of liability is certain and it is not contingent. Only quantification is to be made as to how much expenditure to be incurred on electricity charges. In the circumstances, we hold that expenditure is allowable expenditure. - Decided in favour of assessee. TDS on reimbursement of expenses - Held that:- There is no categorical finding that expenses were all only reimbursements made by the assessee. No such categorical finding is coming out from the orders of the lower authorities. The alternative submission of the assessee that the provisions of section 40(a)(ia) have no application for the payments made within the accounting year in view of the decision of the hon'ble Allahabad High Court in the case of CIT v. Vector Shipping Services Pvt. Ltd. [2013 (7) TMI 622 - ALLAHABAD HIGH COURT ] is accepted, as this Tribunal is consistently holding such view. Therefore, for limited purpose of examining as to whether all these payments were made within the accounting year, this issue is remitted back to the file of the Assessing Officer - Decided in favour of assessee for statistical purposes. Disallowing the bad debts written off - Held that:- Following the decision of the hon'ble Supreme Court in the case of T. R. F. Ltd. [2010 (2) TMI 211 - SUPREME COURT ] we direct the Assessing Officer to delete the disallowance of bad debts of ₹ 18,440 which was written off by the assessee in the books of account.- Decided in favour of assessee
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