https://www.taxtmi.com/caselaws?id=295289 An interest-free advance made in connection with a real estate business and later written off as irrecoverable was treated as a deductible business loss, even though it did not strictly fit the description of a bad debt. The note also explains that disallowance of interest expenditure under section 40(a)(ia) for failure to deduct tax at source must be tested against the applicable proviso and the payee's tax status, because the disallowance may not survive if the payer is not treated as an assessee in default. On that issue, the matter required fresh examination on the relevant facts. en-us Mon, 16 Oct 2017 00:00:00 +0530 Fri, 28 May 2021 08:37:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=295289 An interest-free advance made in connection with a real estate business and later written off as irrecoverable was treated as a deductible business loss, even though it did not strictly fit the description of a bad debt. The note also explains that disallowance of interest expenditure under section 40(a)(ia) for failure to deduct tax at source must be tested against the applicable proviso and the payee's tax status, because the disallowance may not survive if the payer is not treated as an assessee in default. On that issue, the matter required fresh examination on the relevant facts. Case-Laws Income Tax Mon, 16 Oct 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=295289