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TMI Blog2014 (6) TMI 282X X X X Extracts X X X X X X X X Extracts X X X X ..... 2) of the Act - Assessee cannot be questioned to demonstrate debt became bad under the amended provision – thus, the matter is remitted back to the AO for fresh adjudication – Decided in favour of Assessee. - I.T.A. No. 327/AHD/2011 - - - Dated:- 23-5-2014 - Shri Mukul Kr. Shrawat, J.M. And Shri T. R. Meena, A.M.,JJ. For the Appellant : Shri Vivek Oza, Sr. D. R. For the Respondent : Shri P. F. Jain ORDER Per Shri T. R. Meena, A. M. 1 The Revenue s appeal is emanating from the order of Ld. CIT(A)-XX, Ahmedabad dated 08.11.2010 for A.Y. 2004-05. 2 The sole ground of appeal is against the deleting the addition of Rs. 13,15,969/- made by the Assessing Officer on account of bad debts. The A.O. observed that the A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... In view of the above, the addition of Rs. 13,15,969/- made by the A.O is not justified. The same is deleted. 4 Now Revenue is before us ld. D.R. relied upon the order of the A.O and argued that Assessee did not furnish the details of the debt before the A.O at time of assessment proceedings. Therefore he had not fulfilled the condition laid down under section 36(2) of the I.T. Act and genuineness of this debt had not proved before him. 5 At the outset, ld. A.R. for the Assessee supported the order of CIT(A) and argued that Assessee had written off debt as irrecoverable in the books of account as per Hon ble Supreme Court decision in case of TRF Ltd. vs. CIT 300 23 ITR 397 (SC). The only condition for claiming of bad debt is written of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le High Court held that this deduction is to be allowed. There is no obligation on the part of the Assessee to prove the debt became bad subject to provisions of Section 36(2) of the Act. Under the scheme as provided for under Income tax Act, the entries which have been made as to whether same are genuine entry and not imaginary and principle entry, qua the same Assessing Officer is fully empowered to make enquiry. Assessee cannot be questioned to demonstrate debt became bad under the amended provision. Therefore we restore back this issue to the A.O to re-examine the facts of the case afresh. The Assessee is directed to submit details of parties as observe above by this Bench. 8 Accordingly, the Revenue s appeal is allowed for statistic ..... X X X X Extracts X X X X X X X X Extracts X X X X
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