Bad or doubtful debts classification defines non-performing and loss assets for public companies, setting past-due and write-off criteria. Rule 6EB prescribes categories of bad and doubtful debts for public companies under clause (b) of section 43D, defining doubtful asset as a debt non-performing for over two years with specified triggers (term loans, lease rentals, hire purchase instalments, bills purchased or discounted, and other short term credits) where amounts are past due for six months, and defining loss asset as a debt identified as loss and considered uncollectible but not written off; past due means unpaid or thirty days beyond the due date.
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.
Bad or doubtful debts classification defines non-performing and loss assets for public companies, setting past-due and write-off criteria.
Rule 6EB prescribes categories of bad and doubtful debts for public companies under clause (b) of section 43D, defining doubtful asset as a debt non-performing for over two years with specified triggers (term loans, lease rentals, hire purchase instalments, bills purchased or discounted, and other short term credits) where amounts are past due for six months, and defining loss asset as a debt identified as loss and considered uncollectible but not written off; past due means unpaid or thirty days beyond the due date.
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