https://www.taxtmi.com/caselaws?id=286290 A successor continuing a dissolved partnership's business with the same stock-in-trade, assets and liabilities could deduct inherited trade debts as bad debts when they became barred and irrecoverable during the accounting year. The Court treated the arrangement as succession to the existing business, not the creation of a new capital asset, so the commercial character of the debts was preserved despite their having originally arisen in the predecessor firm. The deduction was therefore allowable in the successor's hands. en-us Thu, 16 Nov 1961 00:00:00 +0530 Wed, 19 Feb 2020 18:03:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=286290 A successor continuing a dissolved partnership's business with the same stock-in-trade, assets and liabilities could deduct inherited trade debts as bad debts when they became barred and irrecoverable during the accounting year. The Court treated the arrangement as succession to the existing business, not the creation of a new capital asset, so the commercial character of the debts was preserved despite their having originally arisen in the predecessor firm. The deduction was therefore allowable in the successor's hands. Case-Laws Income Tax Thu, 16 Nov 1961 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=286290