https://www.taxtmi.com/caselaws?id=67078 The Tribunal ruled in favor of the assessee, allowing the deduction of the bad debt amount of Rs. 59,882. The decision emphasized the importance of proper accounting entries for bad debts and clarified that compliance with statutory provisions, rather than the status of recovery efforts, determined eligibility for claiming bad debt deductions. The Tribunal rejected the department's argument that the debt had not become bad due to a pending suit for recovery, stating that the disallowance was based on technical accounting grounds. Compliance with prescribed accounting procedures entitled the assessee to the claimed deduction. en-us Fri, 14 Dec 1984 00:00:00 +0530 Wed, 09 Mar 2011 10:06:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=67078 The Tribunal ruled in favor of the assessee, allowing the deduction of the bad debt amount of Rs. 59,882. The decision emphasized the importance of proper accounting entries for bad debts and clarified that compliance with statutory provisions, rather than the status of recovery efforts, determined eligibility for claiming bad debt deductions. The Tribunal rejected the department's argument that the debt had not become bad due to a pending suit for recovery, stating that the disallowance was based on technical accounting grounds. Compliance with prescribed accounting procedures entitled the assessee to the claimed deduction. Case-Laws Income Tax Fri, 14 Dec 1984 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=67078