Section 36(1)(vii) doesn’t require to establish that debts have become bad before writing off

DCIT Vs ICICI Bank Limited (ITAT Mumbai) ITAT Mumbai held that post amendment to provisions of section 36(1)(vii) of the Income Tax Act as effective from 1st April 1989, the Act does not require the assessee to establish that the debts have in fact become bad before writing off. Accordingly, addition with regard to disallowance of claim of write off of bad debts duly deleted by CIT(A). Facts- The assessee has claimed bad debts written off to the tune of Rs.15,03,06,07,093/- u/s. 36(1)(vii) of Income Tax Act, 1961. During assessment proceedings the Assessing Officer disallowed assessee’s clai...