2008 (3) TMI 427 - HC - Income Tax

Bad debts- The assessee having written the debts off in the books as bad debts. Held that- it was in compliance with the requirement of section 36(1)(vii) of the Act. there was no reason to interfere with the order passed by Tribunal.

Summary

The Bombay High Court dismissed the appeal for the assessment year 1999-2000 regarding the substitution of Section 36(1)(vii) with effect from April 1, 1989. The court found that when a bad debt is written off in the accounts of the assessee, it complies with the requirements of the section.