Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2014 (1) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (1) TMI 1631 - AT - Income TaxDisallowance of bad debt claim - Proofs of bad debts not produced - Held that:- It clearly emerges that the amounts in question are unpaid hospital bills of earlier years, which were included in the income of the charitable hospital. It has not been disputed that assesse could not have detained the patients and not discharge them due to unpaid bills. This would have been a matter of jeopardy for the assessee as these patients had no money and for detaining them the lodging and boarding was to be provided by the assessee. Besides, its object being charitable, if some amount remained unpaid, the letting go of the patient does not militate against the object of the assessee. - assessee has no obligation to give a demonstrative proof that the dues have become actually bad. - there is a possibility that these patients may be related to some of the trustees, there is no instance or material available on record to suggest any specific allegation - Claim of bad debt allowed - Decided in favour of assessee.
|