As regards the deduction of bad debts, is it allowable by merely writting off the same in books or whether the assessee has to prove that the debts have become bad.
Is Oman international accepted after the Madras High Court decision. Any decision considering and following Oman International after considering the favourable decision of Delhi High Court in morgan Stanley and adverse decision of Madras Court?
Dear ca,
In relation to allowability of bad debts under section 36(1)(vii) post amendment of 1989, besides Delhi High Court ruling in Morgan Securities 162 Taxman 124 (Fav) and Madras High Court in South India Surgical 287 ITR 62 (Adverse), you may refer to following other rulings on the subject:
1. Mumbai ITAT in Kanoria Securities 108 TTJ 473 (Fav) ,
2. Delhi High Court in Autometers 292 ITR 345 (Fav) ,
3. Madras High Court in Brilliant Tutorials 292 ITR 399 (Fav.),
4. MP High Court in Nai Dunia 154 Taxman 493 (Fav)
Regards
Kapil Goel