https://www.taxtmi.com/caselaws?id=261046 The court allowed the deduction of a warranty claim as a bad debt under Section 36(1)(vii) of the Income Tax Act, overturning the Tribunal's decision. It held that once an amount is treated as a bad debt, the assessee is entitled to a deduction, regardless of the year in which the tax was paid on that amount. The court found the assessee's treatment of the amount as a bad debt valid, considering the tax was paid in a previous year and the amount remained unrecovered in subsequent years. The appeal was allowed, setting aside the Tribunal's decision. en-us Tue, 02 Dec 2014 00:00:00 +0530 Wed, 01 Jul 2015 06:46:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=261046 The court allowed the deduction of a warranty claim as a bad debt under Section 36(1)(vii) of the Income Tax Act, overturning the Tribunal's decision. It held that once an amount is treated as a bad debt, the assessee is entitled to a deduction, regardless of the year in which the tax was paid on that amount. The court found the assessee's treatment of the amount as a bad debt valid, considering the tax was paid in a previous year and the amount remained unrecovered in subsequent years. The appeal was allowed, setting aside the Tribunal's decision. Case-Laws Income Tax Tue, 02 Dec 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=261046