Shri Anil Prabhakar Kargaonkar, Kolhapur V. DCIT, Kolhapur

MA 7/PUN/2013

• Counselvise Citation: [2013] 124 COUNSELVISE.COM (IT) 0373 (ITAT-PUNE)
• Duration Of Justice: 6 month(s) 16 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 25-04-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: misc
• Appeal Filed On: 09-10-2012
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S K SINGH
• Keywords: Bad and doubtful debts
• Section: 2

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH B, PUNE BEFORE SHRI SHAILENDRA KUMAR YADAV, JUDICIAL MEMBER , AND SHRI R.K.PANDA, ACCOUNTANT MEMBER. M.A.NO.07/PN/2013 (ARISING OUT OF ITA.NO.308, 1022 AND 499/PN/2006) (ASSTT. YEAR : 1997-98 TO 2003-04) SHRI ANIL PRABHAKAR KARGAONKAR(HUF), 345/E, SHAHUPURI, KOLHAPUR. .. APPELLANT VS. ACIT, CENTRAL CIRCLE, KOLHAPUR. .. RESPONDENT ASSESSEE BY : SHRI M.K.KULKARNI DEPARTMENT BY : SHRI S.K.SINGH DATE OF HEARING : 19.04.2013 DATE OF PRONOUNCEMENT : 25.04.2013 ORDER PER SHAILENDRA KUMAR YADAV, JM : THIS MISCELLANEOUS APPLICATION HAS BEEN FILED BY T HE APPLICANT, ARISING OUT OF ITA.NO. 308, 1022 AND 499/PN/2006, I NTER ALIA STATED THAT IN PARA 21 ON PAGE 15, THE TRIBUNAL HAS HELD A S UNDER: IN VIEW OF THE ABOVE LEGAL DISCUSSIONS WE HOLD THA T REVENUE AUTHORITIES WERE NOT JUSTIFIED IN RESTRICTING THE C LAIM OF BAD DEBTS BUSINESS LOSS TO RS.25,26,000/- AS AGAINST CL AIM OF ASSESSEE FOR RS.1,46,54,468/-, BECAUSE DEBT IN QUES TION HAVING BEEN UNDISPUTEDLY ADVANCED IN ASSESSEES ORD INARY COURSE OF MONEY LENDING BUSINESS, SO THIS PART OF C LAIM OF BAD DEBT OF RS.25,26,000/- IS ALLOWABLE U/S.36(1)(VII) READ WITH SECOND LIMB OF SUB-SECTION 2 OF SECTION 36 OF THE A CT. THE ASSESSING OFFICER IS DIRECTED ACCORDINGLY. 2. ACCORDING TO THE LD. AUTHORISED REPRESENTATIVE, THE SAID PARA IS TO BE READ AS UNDER: IN VIEW OF THE ABOVE LEGAL DISCUSSIONS WE HOLD THA T REVENUE AUTHORITIES WERE NOT JUSTIFIED IN RESTRICTING THE C LAIM OF BAD DEBTS BUSINESS LOSS TO RS.25,26,000/- AS AGAINST CL AIM OF ASSESSEE FOR RS.1,46,54,468/-, BECAUSE DEBT IN QUES TION HAVING BEEN UNDISPUTEDLY ADVANCED IN ASSESSEES ORD INARY COURSE OF MONEY LENDING BUSINESS, SO THIS PART OF C LAIM OF BAD 2 DEBT OF RS.1,46,54,468/- IS ALLOWABLE U/S.36(1)(VII ) READ WITH SECOND LIMB OF SUB-SECTION 2 OF SECTION 36 OF THE A CT. THE ASSESSING OFFICER IS DIRECTED ACCORDINGLY. AGREEING TO THE ARGUMENT OF THE LD. AUTHORISED REPR ESENTATIVE, THE ASSESSING OFFICER IS DIRECTED TO READ RS.25,26,000/ - AS RS.1,46,54,468/- ALLOWABLE U/S.36(1)(VII) READ WITH SECOND LIMB OF SUB-SECTION 2 OF SECTION 36 OF THE ACT, IN LAST LIN ES OF PARA 21 AT PAGE 15 OF THE ORDER. TO BE MORE PRECISE, ASSESSEE S CLAIM OF BAD OF RS.1,46,54,468/- IS ALLOWABLE U/S.36(1)(VII) READ W ITH SECOND LIMB OF SUB-SECTION 2 OF SECTION 36 OF THE ACT. THE ASSESS ING OFFICER IS DIRECTED ACCORDINGLY. 3. AS A RESULT, THE MISCELLANEOUS APPLICATION IS AL LOWED AS INDICATED ABOVE. PRONOUNCED IN THE OPEN COURT ON THIS THE 25 TH DAY OF APRIL, 2013. SD/- SD/- ( R.K.PANDA ) ( SHAILENDRA KUMAR YAD AV ) ACCOUNTANT MEMBER JUDICIAL MEMBER GSPS PUNE, DATED THE 25 TH APRIL, 2013. COPY OF THE ORDER IS FORWARDED TO: 1. THE ASSESSEE 2. THE ACIT, CENTRAL CIRCLE, KOLHAPUR. 3. THE CIT(A), KOLHAPUR. 4. THE CIT, KOLHAPUR. 5. THE DR B BENCH, PUNE. 6. GUARD FILE. BY ORDER //TRUE COPY// PRIVATE SECRETARY, INCOME TAX APPELLATE TRIBUNAL, PUNE.