https://www.taxtmi.com/caselaws?id=406696 The Tribunal allowed the appeal, overturning lower authorities' decisions and directing the AO to allow both the bad debts claim and interest expenditure claim against business income. The bad debts claim disallowed by the Ld. CIT(A) was allowed as a trading loss under section 28, not a bad debt under section 36(1)(vii). The interest expenditure disallowed by the AO was deemed a business expense and allowed against business income. The AO was also directed to permit intra-head adjustments if both claims resulted in negative business income under section 71 of the Income-tax Act, 1961. en-us Mon, 19 Apr 2021 00:00:00 +0530 Tue, 20 Apr 2021 09:46:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=406696 The Tribunal allowed the appeal, overturning lower authorities' decisions and directing the AO to allow both the bad debts claim and interest expenditure claim against business income. The bad debts claim disallowed by the Ld. CIT(A) was allowed as a trading loss under section 28, not a bad debt under section 36(1)(vii). The interest expenditure disallowed by the AO was deemed a business expense and allowed against business income. The AO was also directed to permit intra-head adjustments if both claims resulted in negative business income under section 71 of the Income-tax Act, 1961. Case-Laws Income Tax Mon, 19 Apr 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=406696