https://www.taxtmi.com/caselaws?id=328425 The SC upheld the Tribunal's decision to allow the appellant to write off an advance amount given to another company as irrecoverable for the assessment year 2002-03. The Court rejected arguments that the amount should have been included in previous income or recorded in books, emphasizing its crystallization during the current assessment year. Despite the appellant's failure to provide sufficient reasoning against disallowance, the claim was deemed allowable under the mercantile system of accounting and Real Income Theory. The appeal was dismissed, affirming the deduction of the irrecoverable advance. en-us Thu, 12 May 2016 00:00:00 +0530 Fri, 03 Jun 2016 11:56:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=328425 The SC upheld the Tribunal's decision to allow the appellant to write off an advance amount given to another company as irrecoverable for the assessment year 2002-03. The Court rejected arguments that the amount should have been included in previous income or recorded in books, emphasizing its crystallization during the current assessment year. Despite the appellant's failure to provide sufficient reasoning against disallowance, the claim was deemed allowable under the mercantile system of accounting and Real Income Theory. The appeal was dismissed, affirming the deduction of the irrecoverable advance. Case-Laws Income Tax Thu, 12 May 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=328425