Bad Debt is deductible once it is written off in Books of Account

As per amended section 36(1)(vii) with effect from 01.04.1989, the claim of bad debt is to be allowed once it is written off in the books of account and it is not required for the assessee to prove that the debt written off as bad has actually become irrecoverable. Relevant Extract of the Judgment 2. The assessee in the present case is a Company, which is engaged in the business of trading of miscellaneous goods. The return of income for the year under consideration was filed by it on 23.03.2011 declaring total income of Rs.14,30,240/-. In the Profit & Loss Account filed along with the sai...