{"id":28607,"date":"2022-07-20T13:01:52","date_gmt":"2022-07-20T07:31:52","guid":{"rendered":"https:\/\/itatonline.org\/digest\/l-k-p-merchant-financing-ltd-v-dy-cit-bomhc-www-itatonline-org\/"},"modified":"2023-01-08T13:59:33","modified_gmt":"2023-01-08T08:29:33","slug":"l-k-p-merchant-financing-ltd-v-dy-cit-bomhc-www-itatonline-org","status":"publish","type":"post","link":"https:\/\/itatonline.org\/digest\/l-k-p-merchant-financing-ltd-v-dy-cit-bomhc-www-itatonline-org\/","title":{"rendered":"L.K.P.Merchant Financing Ltd v .Dy.CIT ( 2022) 447 ITR 507 \/ 288 Taxman 389 \/ 329 CTR 909\/ 220 DTR 231( Bom)(HC) www.itatonline .org ."},"content":{"rendered":"<p>The assessee \u00a0is a non Banking Finance Company engaged in the business of inter alia of lease finance . The lessee\u00a0 defaulted in payment of instalments . The Assessee approached the High court seeking winding up of Orson Electronics Ltd and appointment of Official liquidator too safe guard the interest of the creditor . The assessee \u00a0wrote off the amount due as bad debt in the books of account .\u00a0\u00a0 The Assessing Officer disallowed the claim of the assessee on the ground that pendency of dispute . The Order of assessing Officer is affirmed by the Tribunal . On appeal allowing the claim the Court held that once a once a business decision has taken to write off a debt as a bad debt in books of account should sufficient to allow the claim as bad debt . (AY. 1991 -92 ) (ITA No. 70 of 2004 dt .18 -7 2022)<\/p>\n","protected":false},"excerpt":{"rendered":"<p>S. 36(1)(vii) :Bad debt \u2013 Pendency of dispute \u2013 Lease rental \u2013 Depreciation -Once a business decision has taken to write off a debt as a bad debt in books of account should sufficient to allow the claim as bad debt [ S. 36(2) ] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-28607","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-7rp","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/28607","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=28607"}],"version-history":[{"count":5,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/28607\/revisions"}],"predecessor-version":[{"id":31884,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/28607\/revisions\/31884"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=28607"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=28607"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=28607"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}