The ACIT, Circle-2, JAMNAGAR V. Birla VXL Ltd. Now known as Digjam Ltd., JAMNAGAR

ITA 250/RJT/2011

• Counselvise Citation: 25024914 RSA 2011
• Duration Of Justice: 5 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-11-2011
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: DB
• Next Hearing Date: 01-11-2011
• Assessment Year: 1994-1995
• Appeal Filed On: 30-05-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S L MEENA
• Assessee Lawyers: SANJAY SHAH
• Keywords: Bad and doubtful debts

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL RAJKOT BENCH, RAJKOT BEFORE SHRI T.K. SHARMA (JM) AND SHRI A.L. GEHLOT ( AM) I.T.A. NO.250/RJT/2011 (ASSESSMENT YEAR 1994-95) ACIT, CIR.2 VS BIRLA VXL LTD JAMNAGAR AERODROME ROAD JAMNAGAR PAN : AACFB0644H (APPELLANT) (RESPONDENT) DATE OF HEARING : 01-11-2011 DATE OF PRONOUNCEMENT : 04-11-2011 APPELLANT BY : SHRI SL MEENA RESPONDENT BY: SHRI SANJAY SHAH O R D E R PER T.K. SHARMA (JM) THIS APPEAL BY THE REVENUE IS AGAINST THE ORDER DA TED 28-03-2011 PASSED BY THE CIT(A), JAMNAGAR DELETING THE DISALLOWANCE O F BAD DEBTS OF RS.2,06,71,185 U/S 36(1)(VII) OF THE I.T. ACT FOR T HE ASSESSMENT YEAR 2005-06. 2. THE ISSUE BEFORE US, UNDISPUTEDLY STANDS SETTLED IN FAVOUR OF THE ASSESSEE AND AGAINST THE REVENUE BY THE JUDGMENT OF THE APEX COURT IN THE CASE OF TRF LTD VS CIT 323 ITR 397 (SC) WHEREIN IT HAS BEEN HEL D THAT IT IS NOT NECESSARY FOR THE ASSESSEE TO ESTABLISH THAT THE DEBT, IN FACT, H AS BECOME IRRECOVERABLE AND IT IS ENOUGH IF THE BAD DEBT IS WRITTEN OFF AS IRRECOV ERABLE IN THE ACCOUNTS OF THE ASSESSEE. THEREFORE, RESPECTFULLY FOLLOWING THE AP EX COURT JUDGMENT WE DISMISS THE APPEAL FILED BY THE REVENUE. ORDER PRONOUNCED IN THE OPEN COURT ON 04-11-2011. SD/- SD/- (A.L. GEHLOT) (T.K. SHARMA) ACCOUNTANT MEMBER JUDICIAL MEMBER RAJKOT, DT : 04 TH NOVEMBER, 2011 PK/- ITA NO.250/RJT/2011 2 COPY TO: 1. ASSESSEE 2. REVENUE 3. THE CIT(A), JAMNAGAR 4. THE CIT, JAMNAGA 5. THE DR, I.T.A.T., RAJKOT (TRUE COPY) BY ORDER ASSTT.REGISTRAR, ITAT, RAJKOT