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TMI Blog1937 (5) TMI 9X X X X Extracts X X X X X X X X Extracts X X X X ..... the Income-tax Officer did not allow a debit of ₹ 1,13,535-3-0 which was written off by the assessee as a bad debt of one M. G. Marcar which has been standing in the accounts of the assessee for the relative accounting period for the year which was 1990-91 Dewali, corresponding to the year ending October, 1934. The assessee claimed that the deduction of the sum mentioned ought to have been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it ended in an arbitration on the 30th April 1924 and under the award of the arbitrators Doyaram was given a part of his share in the coparcenary assets and the debt due from M. G. Marcar which although nominally was ₹ 1,13,535-3-0, however was assessed for the purpose of the partition as being only of the value of ₹ 22,052. Doyaram argued that the business which he was carrying on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the nature of a captial asset which had come over to the assessee in the year ending in October 1924. The Commissioner of Income-tax in the opinion which he had put before us said it, that is to say, the amount of Marcars debt had nothing to do with the business which was being carried on by the assessee, and if he could not recover or did not choose to recover something which he got not in con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de name and it seems, with the name went also the goodwill of the old business. He was allowed to use the name of Bissendoyal Gajanand for the business he was to carry on. He was allowed to retain the membership of the Calcutta Stock Exchange Association Limited and he was in fact given the entire share in the Calcutta Stock Exchange Association Limited, which was standing in the name of Bissendoy ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t which could be used as capital in his hands if he so chose to use it, assuming he could recover it. In the circumstances, we are of opinion that the Income-tax Officer was quite right in disallow the deduction. The Reference is answered in favour of the Crown with costs to be taxed according to the scale of the Original Side of this Court. LORT WILLIAMS, J. - I agree. Reference answered ..... X X X X Extracts X X X X X X X X Extracts X X X X
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