Provisions for doubtful debt amounts to application of income for charitable purpose 

DCIT Vs Flt Lt. Rajan Dhall Charitable Trust (ITAT Delhi) he issue in the present ground is with respect to the denial of claim of Rs.3.32 crores (rounded off) as application of income on account of provisions for doubtful debts. We find that CIT(A) after considering the submissions of the assessee has given a finding that the provision made by the assessee was ascertained and quantified and the provision was made in furtherance of the objectives of the trust. He further relying on the decision of Hon’ble Delhi High Court in the case of NASSCOM (supra) held that the income for application fo...