TMI Blog2010 (2) TMI 211X X X X Extracts X X X X X X X X Extracts X X X X ..... recoverable. That position got altered by deletion of the word established , which earlier existed in Section 36(1)(vii) of the Income Tax Act, 1961 held that - in the present case, the Assessing Officer has not examined whether the debt has, in fact, been written off in accounts of the assessee. When bad debt occurs, the bad debt account is debited and the customer s account is credited, thus, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vocates, with him), for the respondent. JUDGMENT 1. Heard learned counsel on both sides. 2. In these appeals, we are concerned with the assessment year 1990-91 and the assessment year 1993-94. Prior to April 1, 1989, every assessee had to establish, as a matter of fact, that the debt advanced by the assessee had, in fact, become irrecoverable. That position got altered by deletion of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the matters dealt with therein, in computing the income referred to in section 28 - . (vii) subject to the provisions of sub-section (2), the amount of any bad debt or part thereof which is written off as irrecoverable in the accounts of the assessee for the previous year." 4. This position in law is well-settled. After April 1, 1989, it is not necessary for the assessee to establish that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the abovementioned aspect only and that too only to the extent of the write-off. 5. Subject to above, the civil appeals filed by the assessee are disposed of with no order as to costs. ORDER In view of our Order passed today in Civil Appeal No.5293 of 2003 and Civil Appeal No.5294 of 2003, we remit this case concerning Assessment Year 1994-1995 also to the Assessing Officer, who is dire ..... X X X X Extracts X X X X X X X X Extracts X X X X
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