https://www.taxtmi.com/caselaws?id=183675 Overdrawings by an employee, even if later evidenced by a promissory note, were not treated as loans made in the ordinary course of a money-lending business, so the claimed bad-debt deduction failed. The later note did not change the character of the transaction at its inception. Interest paid to the Ceylon Government on unpaid estate duty was also not deductible, because the liability arose by statute and not from borrowed capital, and it was not expenditure laid out wholly and exclusively for the business. Both claimed deductions were disallowed. en-us Wed, 16 Nov 1949 00:00:00 +0530 Fri, 17 Jun 2016 17:57:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=183675 Overdrawings by an employee, even if later evidenced by a promissory note, were not treated as loans made in the ordinary course of a money-lending business, so the claimed bad-debt deduction failed. The later note did not change the character of the transaction at its inception. Interest paid to the Ceylon Government on unpaid estate duty was also not deductible, because the liability arose by statute and not from borrowed capital, and it was not expenditure laid out wholly and exclusively for the business. Both claimed deductions were disallowed. Case-Laws Income Tax Wed, 16 Nov 1949 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=183675