Case Law Details
India Pistons Ltd Vs DCIT (ITAT Chennai)
The undisputed position that emerges is that the assessee has received short-payment against invoices from various transport undertakings. The same is evident from the ledger extract furnished by the assessee. Undisputedly, these undertakings are the customer of the assessee and the shortfall of amount so received by the assessee has been claimed as bad-debts / discounts. In our considered opinion, to claim the same, it was not necessary for the assessee to map each of the amounts against particular invoices. It was sufficient to show that there was shortfall in receipt of amount against the invoices. This fact has already been established by the assessee. Therefore, the expenditure is clearly allowable as business loss.
FULL TEXT OF THE ORDER OF ITAT CHENNAI
1. Aforesaid appeal by assessee for Assessment Year (AY) 2008-09 arises out of the order of learned Commissioner of Income Tax (Appeals)-5, Chennai [CIT(A)] dated 18-03-2019 in the matter of assessment framed by Ld. Assessing Officer [AO] u/s. 143(3) r.w.s. 254 of the Act on 23-12-2015. The sole grievance of the assessee is disallowance of write-off of Rs.41.37 Lacs.
2. This is a second round of appeal since the matter, in the first round, was remitted back by Tribunal vide ITA No.56/Mds/2013 dated 12.06.2015 to Ld. AO with the following directions:
Please become a Premium member. If you are already a Premium member, login here to access the full content.
