Deduction U/s. 36(1)(vii) allowable if amount was advanced in the ordinary course of business

Deduction under s 36(1)(vii) is allowable if amount was advanced in the ordinary course of business and the debt was written off as irrevocable in the books of accounts All Grow Finance and Investment Pvt. Ltd. Vs CIT (Delhi High Court) If the debt is not advanced in the ordinary course of business, it would not qualify for deduction as a bad debt.  We are of the view that the only condition laid down in second part of sub-section (2) of Section 36 of the Act is that the amount should be advanced in the ordinary course of business which by itself proves its revenue nature and no further cond...