The assessee entered into a one-time settlement with IREDA under which the entire interest as well as a part of the principal amount was also waived by the IREDA. While preparing the return of income, the assessee excluded the amount as no part of such interest had even been allowed in any prior assessment year and the provisions of section 41(1) of the Act. The AO included for computing book profits. Tribunal  held that no provision can be made for an ascertained liability and therefore, no provision had been made by the assessee for interest payable and therefore, waiver of interest by IREDA could not be considered as withdrawal of a provision and could not be reduced from the book profits. However, it held that the contention of the assessee that a sum of Rs. 1.08 crores should be considered as waiver of interest and part of the book profits as interest payable for the pre-commencement period, needed examination and therefore, the matter was remitted for adjudication in accordance with law. On appeal dismissing the appeal, that the findings by all the authorities under the Act were based on meticulous appreciation of evidence on record and did not suffer from any perversity warranting interference in appeal. (AY.2007-08)