Assessee reduced value of 313 obsolete items of its stocks and spares which were not used for past five years or more by 50 percent, which was done on basis of recommendation of committee of experts appointed by the Board of the assesee company. The assessee claimed loss on account of such evaluation of obsolete inventory. The AO disallowed the loss, which was affirmed by the Tribunal. On appeal the Court held that, technical evaluation was conducted on the basis of recommendation of the Committee hence the loss on revaluation is held to be allowable as business loss.