If any debtors not in condition to pay the receivable amount even we have written him many letters to pay. After how much time I can claim this amount in P& L as a Bad Debtors and under which IT Section. please answer.
08 December 2012
Do you mean withing a Financial Year suppose I have billed to a party on 10-May-12 but after 10 day side he didn't pay and even passed Nov-12 can we assume this party as a bad debtors in P&L of 2013.
We are Distributor firm of mobile handset can we declare this in current F.Y. & if yes then time of Assessment will ITO ask documents or any supportive pertaining to declare this debtors as a Bad Dab. ???