https://www.taxtmi.com/caselaws?id=173863 The HC ruled in favor of the assessee, allowing the appeal and confirming that under the amended s. 36(1)(vii) of the Income Tax Act, a deduction for bad debts can be claimed once the debt is written off in the accounts, without needing to prove irrecoverability. The court emphasized the legislative intent and guidance from Circular No. 551, which clarified that the deduction should be allowed in the year of write-off, thus eliminating the requirement to establish the debt as bad. The Revenue's arguments and reliance on previous judgments were rejected as inapplicable to the amended provisions. en-us Thu, 14 Aug 2008 00:00:00 +0530 Mon, 27 Nov 2023 14:42:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=173863 The HC ruled in favor of the assessee, allowing the appeal and confirming that under the amended s. 36(1)(vii) of the Income Tax Act, a deduction for bad debts can be claimed once the debt is written off in the accounts, without needing to prove irrecoverability. The court emphasized the legislative intent and guidance from Circular No. 551, which clarified that the deduction should be allowed in the year of write-off, thus eliminating the requirement to establish the debt as bad. The Revenue's arguments and reliance on previous judgments were rejected as inapplicable to the amended provisions. Case-Laws Income Tax Thu, 14 Aug 2008 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=173863