9911796707
TMI Blog2010 (12) TMI 858X X X X Extracts X X X X X X X X Extracts X X X X ..... vii) of I.T. Act - The decision in the case of Taylor Instrument Co. India Ltd. Vs. CIT[2001 -TMI - 12853 - DELHI High Court]wherein on similar facts and circumstances, the issue was held to be allowable as bad debt supports the case of the assessee - The CIT(A) had recorded a finding of fact that the amount had become irrecoverable and, therefore, was bad debt - The said finding had been affirmed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he sundry debts of trading receipts as bad debt to allow its deduction u/s 36(1) (vii) of I.T. Act?" The facts, in brief, necessary for adjudication, as narrated in the appeal are that the assessee-firm, filed return on 31.10.1997 for the assessment year in question, declaring total income of Rs. 34,457/- and the same was processed under Section 143(1)(a) of the Act on 27.2.1998. The assessment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appeal is, "whether bad debt as claimed by the assessee was admissible under Section 36(1)(vii) of the Act". The Tribunal on the aforesaid issue recorded its finding as under: "On perusal of record and after hearing rival contention, it is seen that undisputedly the amount has been debited in profit and loss account by the assessee. In our considered opinion, the assessee is the best judge to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e allowable as bad debt supports the case of the assessee. In the case of A.W. Figgis & Co. Pvt. Ltd. Vs. CIT, 254 ITR 63 wherein criminal proceedings were filed against the debtor. The amount not recovered was held to be deductible as a bad debt clearly supports the case of the assessee. The following decisions also throw light on the issue: a. 143 ITR 166 (Gujarat) b. 74 ITR 723 (Bombay) c ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
