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TMI Blog2023 (9) TMI 1635X X X X Extracts X X X X X X X X Extracts X X X X ..... quivocally declaring his intention to not honour his liability when payment is demanded by the creditor. Thus, we direct the AO to delete the impugned addition. The solitary grievance of the assessee is allowed. Disallowing expenditure incurred on inventory loss and leakages being 20% of the amount of expenditure debited to the profit and loss account - CIT(A) deleted addition - HELD THAT:-We find that similar quarrel was considered by the co-ordinate bench in [ 2023 (7) TMI 1150 - ITAT DELHI] held write off of inventory is based on actual loss and not on estimation. Therefore, in our considered view, the ld. CIT(A) was correct in allowing the same as business expenditure. Decided against revenue. - SHRI N.K. BILLAIYA, ACCOUNTANT MEMBER, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mely, building, machinery, plant or furniture which is owned by the assessee in respect of which depreciation is claimed u/s 32(1)(i) of the Act, that is, assets of an undertaking engaged in generation or generation and distribution of power which was, or has been used for the purpose of business. 37. It is clear that section 41(2) of the Act applies only if the assets are owned by the power generating undertaking and since the assessee is not a power generating company, the ld. CIT(A) grossly erred in applying provisions of Section 41(2) of the Act. 38. Coming to the applicability of provision of Section 41(1) of the Act which is also not applicable on the facts of the case, as twin conditions have to be satisfied (i) deduction in respect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he assessee in ITA No. 975/DEL/2023 is allowed. ITA No. 928/DEL/2023 [Revenue s Appeal 10. Coming to the appeal by the Revenue, the first grievance is in relation to the deletion of addition made by the Assessing Officer on account of disallowing expenditure incurred on inventory loss and leakages being 20% of the amount of expenditure debited to the profit and loss account. 11. The ld. counsel for the assessee pointed out that the impugned issue has been considered and decided by this Tribunal in earlier A.Y in assessee s own case. 12. The ld. DR fairly conceded to this. 13. We have carefully perused the orders of the authorities below. We find that similar quarrel was considered by the co-ordinate bench in ITA No. 5810/DEL/2018 for A.Y 20 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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