Sec.36 & 40A of Income Tax act, 1961 — Business disallowance — The Assessee is a rural regional bank engaged in the business of banking. Revenue filed appeals against the orders passed by CIT(A) saying that CIT(A) committed error in holding that the Assessee is entitled to deduction u/s.36(1)((vii) as well as u/s.36(1)(viia), of the Act, 1961, without the restriction imposed by the provisions of Se.36(2)(v) of the Income Tax Act, 1961 and in allowing deduction u/s. 36(1(vii) as well as u/s.36(1)(viia) of the Act, 1961 thereby allowing the provisions of sections to operate independently and allowing the Assessee double deduction. High Court partly allowed the appeals of the revenue holding that:- the AO was justified in disallowing the claim for deduction on account of provisions for bad and doubtful debts u/s. 36(1)(viia) of the Act as admittedly the Assessee did not debit its profit and loss account any sum towards provision for bad and doubtful debts – JOINT CIT Vs. KARNATAKA VIKAS GRAMEENA BANK [2020] 79 ITR (TRIB) 207 (ITAT-BANGALORE)