Reversal of excess provision for doubtful debts deductible in book profit calculation

Brief of the case: The Hon’ble Himachal Pradesh High Court in the case of CIT vs. M/s Himachal Pradesh State Industrial Development Corporation Ltd. held that the excess provision for bad and doubtful debts written back by way of credit to Profit and Loss A/c is deductible while arriving at the book profits. It is an effective credit to P&L A/c and not merely a book adjustment. Facts of the case: For AY 2004-05, the assessee had claimed that a debit of Rs. 1,64,47,026/- in the P&L account on account of bad debts written off and writing back Provision made for Bad & Doubtf...