ITAT Delhi Upholds Disallowance of Bad Debt for Non-Business Activity

Ajay Kumar Vs ACIT (ITAT Delhi) In the case of Ajay Kumar vs. ACIT (Income Tax Appellate Tribunal Delhi), the issue at hand was the disallowance of a claim for bad debt made by the assessee. The Income Tax Appellate Tribunal (ITAT) upheld the disallowance, stating that the assessee was not involved in a real estate business, and thus, the claimed bad debt could not be allowed as a deduction. This article provides a detailed analysis of the case, focusing on the reasoning behind the ITAT’s decision. Detailed Analysis The appellant, Ajay Kumar, had claimed a deduction for bad debt amounti...