https://www.taxtmi.com/caselaws?id=289631 An advance was treated as a loan made in the course of the assessee's money-lending business, not as capital invested in the debtor's business, because the evidence did not prove a capital contribution. The repayment arrangement through Government cheques did not alter the character of the debt. The debt also could not be treated as irrecoverable merely because the debtor absconded; the assessee still had time to assess recovery, and the debt became bad only in the relevant accounting period. The bad-debt deduction was therefore admissible, and the issue was decided against the Revenue. en-us Thu, 23 Jan 1936 00:00:00 +0530 Mon, 10 Aug 2020 13:42:31 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=289631 An advance was treated as a loan made in the course of the assessee's money-lending business, not as capital invested in the debtor's business, because the evidence did not prove a capital contribution. The repayment arrangement through Government cheques did not alter the character of the debt. The debt also could not be treated as irrecoverable merely because the debtor absconded; the assessee still had time to assess recovery, and the debt became bad only in the relevant accounting period. The bad-debt deduction was therefore admissible, and the issue was decided against the Revenue. Case-Laws Income Tax Thu, 23 Jan 1936 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=289631