Assessee had acquired loans for working capital requirement. Due to financial crisis assessee availed one time waiver on said loan amount. Waiver amount was exclusive of interest amount and was credited to capital account of partners. Assessing Officer held that since assessee had availed loan for working capital requirement, waiver on loan amount and benefit accruing from it to assessee should be offered to tax, and accordingly, added amount of loan waived of as income of assessee under section 41(1)(a) of the Act. CIT(A) deleted the addition. On appeal the Tribunal held that  loan amount was never part of profit and loss account of assessee in any previous year and was capital in nature. Since loan amount was neither claimed as expenditure nor as trading liability by assessee in any previous year, waiver of such loan which was otherwise capital in nature could not be chargeable to tax under provisions of section 41(1). Tribunal also held that since benefit on waiver of loan was not in kind of money, i.e., cash receipt, section 28(iv) also would not apply. (AY. 2013-14, 2014-15)