TaxTMI 
TaxTMI 
1974 (2) TMI 21
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....ax Act, 1922. The assessee is a firm carrying on business in sugar and money-lending. During the proceedings for the assessment year 1957-58, it claimed to deduct from its income two sums of Rs. 1,02,356 and Rs. 69,537 due from M/s. Jagannath Mahadeo Prasad and M/s. Sri Ram Mahadeo Prasad, the debtors. It was alleged that a large sum of money was due from them for over a number of years. The case ....
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....port of his assertion that it realised Rs. 1,25,000 through arbitration from the debtors had wrongly been rejected. The Tribunal was of opinion that these affidavits should have been accepted. The Tribunal also observed that, as the assessee was not confronted with the so-called discrepancies in the two accounts, as existing in the books of accounts of the debtors and the assessee-firm, no relianc....
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.... after the award. The finding that the debts in question had become bad in the relevant previous year is a finding of fact and, based as it is on relevant material, it cannot be questioned. Learned counsel for the department says that before the assessee can get deduction on account of bad debt, he must prove that the debt had become bad in the relevant accounting year. According to him this burd....