https://www.taxtmi.com/caselaws?id=790325 An advance paid in the course of the assessee's hotel business for renovation and use of premises as a restaurant was held to be a deductible business loss when the arrangement failed after fire damage and only partial recovery was obtained; it was treated as a revenue loss even though it did not meet the technical conditions for bad debt. An interest-bearing advance to an individual was disallowed because no reliable evidence showed business linkage and it was treated as a personal or friendly loan, not an expenditure incurred in the ordinary course of business. A forfeited deposit paid for a joint bid to secure gas supply for the hotel business was also allowed as a business loss in the revenue field. en-us Mon, 20 Apr 2026 00:00:00 +0530 Thu, 23 Apr 2026 09:45:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=790325 An advance paid in the course of the assessee's hotel business for renovation and use of premises as a restaurant was held to be a deductible business loss when the arrangement failed after fire damage and only partial recovery was obtained; it was treated as a revenue loss even though it did not meet the technical conditions for bad debt. An interest-bearing advance to an individual was disallowed because no reliable evidence showed business linkage and it was treated as a personal or friendly loan, not an expenditure incurred in the ordinary course of business. A forfeited deposit paid for a joint bid to secure gas supply for the hotel business was also allowed as a business loss in the revenue field. Case-Laws Income Tax Mon, 20 Apr 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=790325