The assessee is a company engaged in the business of providing finance in the field of lease and higher purchase transaction, management consultancy  services etc . The assessee claimed as bad debt in respect of intercorporate deposits in respect of purchase of vehicles or plant and machinery .  AO took the view that unless there was an admitted debt it could not be allowed as bad debt when it is written off. Besides, the debt must be incidental to the business or profession of the assessee.  The AO rejected the claim of the assessee which was affirmed by the CIT (A) . On appeal the Tribunal allowed the claim of the assessee. On appeal by the revenue the Court held that  ,  it is a settled position in law that after 1.4.1989, it is not necessary for the assessee to establish or prove that the debt has in fact become irrecoverable but it would be sufficient if the bad debt is written off as irrecoverable in the accounts of the assessee.  Followed  TRF Ltd v CIT (2010) 323 ITR  397 (SC)   CIT v.  Shreyas S. Morakhia ( Bom) (HC)  [2012] 342 ITR 285 (Bom ) (HC)   ( ITA No 1265 of 2017 & 1469 of 2017 dt 11-02 -2020) (AY .2001 -02 , 2003 -04)