2025 (1) TMI 709

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Income Tax Act, 1961 the import of which is that the bad debts would ultimately be written off and they cannot be construed as a liability in the hands of the person who is to receive the outstanding dues. HELD THAT:- This Court in the case of VIJAYA BANK [ 2010 (4) TMI 46 - SUPREME COURT] observed that ultimately a bad debt can only be written off in its books of account by way of a debit to prof .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Bahadur Yadav, AOR Mr. Udai Khanna, Adv. Mr. Annirudh Sharma Ii, Adv. Mr. Akshay Nain, Adv. Mr. Atulesh Kumar, Adv. Mr. A K Kaul , Adv For the Respondent : Mr. Percy Pardiwala, Sr. Adv. Mr. K. R. Sasiprabhu, AOR Mr. Amit Mathur, Adv. Mr. Vishnu Sharma A S , Adv ORDER UPON hearing the counsel the Court made the following. Learned Additional Solicitor General appearing for the petitioner herein subm .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... receive the outstanding dues. Thereafter, this Court in the case of VIJAYA BANK VS. COMMISSIONER OF INCOME TAX 2010 (323) ITR 166 (SC), observed that ultimately a bad debt can only be written off in its books of account by way of a debit to profit and loss account and simultaneously reducing corresponding amounts from loans and advances to debtors effected on the assets side in the balance sheet a .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X