https://www.taxtmi.com/caselaws?id=233642 Irrecoverable amounts from running and terminated chit groups may be deductible as bad debt or business loss only where defaulted instalments of prized subscribers have been actually written off and verified from the accounts. Fresh verification is required for claims relating to running chits. Foreman dividend from a commercial chit business is not exempt under mutuality because the foreman is distinct from the subscribers and there is no complete identity between contributors and participators. Interest liability remains consequential to the tax treatment of the underlying income. en-us Fri, 05 Apr 2013 00:00:00 +0530 Mon, 29 Apr 2013 18:23:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=233642 Irrecoverable amounts from running and terminated chit groups may be deductible as bad debt or business loss only where defaulted instalments of prized subscribers have been actually written off and verified from the accounts. Fresh verification is required for claims relating to running chits. Foreman dividend from a commercial chit business is not exempt under mutuality because the foreman is distinct from the subscribers and there is no complete identity between contributors and participators. Interest liability remains consequential to the tax treatment of the underlying income. Case-Laws Income Tax Fri, 05 Apr 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=233642