The Commissioner Of Income Tax- 4, Mumbai v. M/S.oasis Securities Limited

IN THE HIGH COURT OF JUDICATURE AT BOMBAYORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.495 OF 2007 The Commissioner of Income Tax- 4, Mumbai..Appellant. Versus M/s.Oasis Securities Limited ..Respondent. Mr.P.S. Sahadevan i/by Mr.Vimal Gupta for the appellant.Ms.Beena Pillai i/by Thakordar & Madgavkar for the respondent. CORAM : V.C. DAGA & J.P. DEVADHAR, JJ. DATE : 4TH SEPTEMBER 2009 P.C. : 1.The Appeal was admitted by order dated 13-8-2008 on the following substantial question of law: a)Whether on the facts and in the circumstances of the case, the Tribunal by relying on the judgment of the special bench of ITAT in Oman International Bank (reported in 100 ITD 285) was correctt in holding that, it is not obligatory on the part assessee to prove that the debt written off by him is indeed a Bad Debt for the purpose of allowance u/s 36(1)(vii) ? b)Whether on the facts and circumstances of the case and in law, the Tribunal was correct in relying on the judgment of Special Bench of ITAT in Oman International Bank, in allowing the bad debts u/s. 36(i)(vii), in spite of the fact that the assessee did not fulfill the conditions laid down under Section 36(2) of the Income Tax Act, 1961 ? 2.The learned counsel for the revenue fairly states that issue sought to be raised in this appeal is covered by the Division Bench judgment of this Court in the case of Director of Income Tax (International Taxation) V/s. M/s.Oman International Bank SAOGreported in (2009) 313 ITR 128 (Bom). 3.In the light of that, there is no merit in this appeal. The question is accordingly answered in favour of the assessee and against the revenue. The appeal is thus dismissed with no order as to costs. (J.P. Devadhar, J.) (V.C. Daga, J.)