Deduction limit for NBFC bad debt provisions imposed, restricting allowable deduction relative to total income. Amendment inserts a new sub-clause permitting a deduction for provisions for bad and doubtful debts made by a non-banking financial company, limited to an amount not exceeding five per cent. of the total income (computed before deductions under that clause and Chapter VI-A), and defines 'non-banking financial company' by reference to the Reserve Bank of India Act; effective 1 April 2017.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Deduction limit for NBFC bad debt provisions imposed, restricting allowable deduction relative to total income.
Amendment inserts a new sub-clause permitting a deduction for provisions for bad and doubtful debts made by a non-banking financial company, limited to an amount not exceeding five per cent. of the total income (computed before deductions under that clause and Chapter VI-A), and defines "non-banking financial company" by reference to the Reserve Bank of India Act; effective 1 April 2017.
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