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Deduction u/s 36(1)(viia) - provision created for bad and ...


Dispute Over Deduction for Bad Debts u/s 36(1)(viia); CIT Decision Overturned Due to RBI Guidelines Compliance.

May 14, 2020

Case Laws     Income Tax     AT

Deduction u/s 36(1)(viia) - provision created for bad and doubtful debts - RBI guidelines prescribes the provision on standard assets from the year ended March 31, 2000 directing the banks to make a general provision of a minimum of 0.25% on standard assets. - Decision rendered by the CIT is unjustifiable for the reason that assessee is bound by the guidelines issued by the Reserve Bank of India.

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