https://www.taxtmi.com/caselaws?id=5896 The SC held the assessee was entitled to deduct the amount of a debt written off as irrecoverable and related legal expenses under s.36(2)(i) of the Income Tax Act. The debt had been included as income in an earlier year; following a settlement the assessee accepted part payment and wrote off the balance, satisfying both sub-clauses (a) and (b). A successor assessee stepping into a predecessor's shoes may claim the deduction. The HC, Appellate Tribunal, AAC and ITO were correct in allowing the claims. The appeal is dismissed. en-us Mon, 08 Jul 1985 00:00:00 +0530 Thu, 30 Oct 2025 14:07:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=5896 The SC held the assessee was entitled to deduct the amount of a debt written off as irrecoverable and related legal expenses under s.36(2)(i) of the Income Tax Act. The debt had been included as income in an earlier year; following a settlement the assessee accepted part payment and wrote off the balance, satisfying both sub-clauses (a) and (b). A successor assessee stepping into a predecessor's shoes may claim the deduction. The HC, Appellate Tribunal, AAC and ITO were correct in allowing the claims. The appeal is dismissed. Case-Laws Income Tax Mon, 08 Jul 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=5896