Held that the computation of income for the assessment year\u00a02010-11\u00a0showed that the assessee had made claim\u00a0 as reduction of business income under the head \u201cunrealised foreign exchange on forward contract disallowed in earlier years\u201d. The return of income for the assessment year\u00a02010-11\u00a0was filed by the assessee much before the conclusion of the first appellate proceedings for the assessment year\u00a02009-10. This being the position, the identical claim raised by the assessee in this year was a misleading claim and merely an attempt to claim the double deduction of the amount in two years. This fact was never brought to the notice during the first round proceedings or during the initial hearing of the appeal. Under these circumstances, the claim made by the assessee was to be rejected, at the outset, being a double claim. Held that the sum was only an unascertained liability and booked artificially. This was further evidenced by the fact that the provision made by the assessee had been reversed by the assessee itself, in the next year. It was, therefore, liable to be added back in terms of clause (c) of Explanation 1 to section\u00a0115JB.(AY.2009-10)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 115JB : Company-Book profit-Marked-to-market foreign exchange loss incurred on outstanding forward contracts-Unascertained liability and booked artificially-Provision made is reversed in next year-Liable to be added back. [S.37(1)] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-45283","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-bMn","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/45283","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=45283"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/45283\/revisions"}],"predecessor-version":[{"id":45284,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/45283\/revisions\/45284"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=45283"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=45283"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=45283"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}