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Bad Debts written off

Shashank Kasat (Article Assistant) (50 Points)

30 December 2009

Please tell me where it is written that bad debts written off should not be debited to P/L but to be shown by way of provision in RBI Guidelines and Banking Regulation Act

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5 Replies

Amir (Learner) (4016 Points)
Replied 30 December 2009

Amazing Brother, u urself are mentioning the source and asking others about it..

Please clarify what u want to ask??

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CA Ashish Bansal (Manager Finance & Accounts) (73 Points)
Replied 30 December 2009

u r asking the question the question or ................

CA Kanveer Singh Dhingra (Merchant Banker) (193 Points)
Replied 30 December 2009

Lol..

Nicky (Chartered Accountant) (245 Points)
Replied 31 December 2009

Writting off Bad Debts for a business other than those goverened by RBI is covered by 36(1)(vii) where in once the bad debt is written off in the books, it is suffcient to prove that the debts are bad refer "CIT Vs. Hotel Ambassador (2002) 253 ITR 430 (Ker)."