Monday, April 5, 2021

Claim of bad debts cannot be disallowed if income was duly recorded and offered to tax in earlier year

INCOME TAX : Where assessee claimed bad debt on account of non-recovery of additional cost incurred by it on export of bags to foreign customers, since assessee had credited such amount of additional cost due from customers as income in its books of account and had offered same to tax in earlier years, thus, complied with mandate contained in 36(2), such claim of bad debts on account of additional cost incurred by it was to be allowed

from www.taxmann.com Latest Case Laws https://ift.tt/3fUcM1R

No comments:

Post a Comment

AO can’t disallow cost of improvement merely relying on enquiries made with assessee’s neighbour: ITAT

INCOME TAX : Where assessee had purchased a flat and incurred expenditure of Rs. 23 lakhs for purpose of renovating house and Assessing Offi...