https://www.taxtmi.com/caselaws?id=426902 SC held that advance payment for property purchase cannot be claimed as bad debt deduction under Section 36(1)(vii) or Section 37. The assessee failed to establish terms of advance, interest arrangements, or proper write-off in accounts. Since the advance was for acquiring immovable property, it constituted capital expenditure, not business expenditure. The court distinguished this from cases where expenditure relates to business operations, setting aside HC and ITAT orders allowing the deduction. Revenue's appeal succeeded. en-us Thu, 25 Aug 2022 00:00:00 +0530 Wed, 18 Jun 2025 08:39:45 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=426902 SC held that advance payment for property purchase cannot be claimed as bad debt deduction under Section 36(1)(vii) or Section 37. The assessee failed to establish terms of advance, interest arrangements, or proper write-off in accounts. Since the advance was for acquiring immovable property, it constituted capital expenditure, not business expenditure. The court distinguished this from cases where expenditure relates to business operations, setting aside HC and ITAT orders allowing the deduction. Revenue's appeal succeeded. Case-Laws Income Tax Thu, 25 Aug 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=426902