9911796707
TMI Blog2012 (7) TMI 763X X X X Extracts X X X X X X X X Extracts X X X X ..... This is Revenue's appeal against the order of ld. CIT(A)-1, Surat dated 16.03.2009. 2. The Revenue has taken following two effective grounds:- "On the facts and circumstances of the case and in law, ld. CIT(A) has erred in deleting the additions of Rs.15,38,129/- made u/s 145A and allowing deductions on the same. On the facts and circumstances of the case and in law, the ld. CIT(A) has ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n be claimed. The A.O., however, did not accept this explanation saying that as per the guidance note of ICAI, there will be no effect in respect of adjustment u/s Section 145A. The A.O., therefore, disallowed the deduction of Rs.15,38,129/-. 4. Before ld. CIT(A) the assessee filed copies of tax audited report of the current year as well as the last year to show that the assessee has been followi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee has claimed bad debts of Rs.2,41,001/- in respect of M/s Pack Print Services, Rs.4,00,893/- in respect of M/s Global Textile Processors and Rs.25,339/- in respect of M/s Vijay Laxmi Textile Pvt. Ltd., totaling to Rs.6,67,233/-. The assessee was asked to substantiate its claim. The assessee replied that they had received the payment from Global Textile Processors for entire amount for the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d and simply writing letters does not amount to make full effort to recover these amounts. He therefore, disallowed the debt. 7. Before ld. CIT(A) the assessee's contention was that the bad debts now claimed were part of its income in earlier years which has also been admitted by the A.O. and the same have been now written off in their books of accounts and this is sufficient for claiming deducti ..... X X X X Extracts X X X X X X X X Extracts X X X X
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