Travancore Tea Estates Co. Ltd. v. CIT

233 ITR 203Supreme Court of India1998#10384 most cited

What is Travancore Tea Estates Co. Ltd. v. CIT authority for?

For a bad debt deduction, while strict proof is not required and the assessee's judgment is paramount, there must be some material to support the entry showing genuineness, a trading origin, a debtor-creditor relationship, and irrecoverability.

10

judgments rely on this decision, according to BharatTax’s citation analysis of 366,005 Indian tax judgments — from 2011 to 2026.

Also referred to as

Travancore Tea Estates Co. Ltd. v. CIT · bad debt deduction · genuineness of entry · trading activity · debtor-creditor relationship · irrecoverable debt · Section 36(1)(vii) · Section 36(1)(viia) · onus of proof

Sections most often in play

Section 14ASection 244ASection 36(1)(vii)Section 36(1)(viia)Section 40(a)(ia)Section 43BSection 80-IA

Judgments citing Travancore Tea Estates Co. Ltd. v. CIT

Asst CIT 2(2)(1), Mumbai vs. State Bank of India, Mumbai

In the result appeal filed by the assessee as well as revenue stands partly allowed for statistical purposes

ITA 3882/MUM/2017[2010-11]Status: DisposedITAT Mumbai21 Apr 2026AY 2010-11

Bench: Smt. Beena Pillai () & Shri Jagadish ()

Section 14ASection 36(1)Section 36(1)(vii)Section 36(1)(viia)Section 43B

…ot be said that it has become irrecoverable (Travancore Tea Estate Co. Ltd. v. Commissioner of Income-tax [1992], 197 ITR 528 (Ker.). The appeal to the Hon’ble Supreme Court was dismissed. (Travancore Tea Estate Co. Ltd . v. Commissioner of Income-tax [1998], 233 ITR 203 (SC)). The Hon’ble Supreme Court observed that whether a debt has become bad or the point of time when it became bad are pure questions of fact. In Commissioner of Income-tax v. Coates of India Ltd. [1998] 232 ITR 324 (Cal), it was held that the word “bad” used in conjunction with the word debt means worthless. The assessee is required to show th…

State Bank of India, Mumbai vs. Asst CIT Cir 2(2), Mumbai

In the result appeal filed by the assessee as well as revenue stands partly allowed for statistical purposes

ITA 3680/MUM/2017[2010-11]Status: DisposedITAT Mumbai21 Apr 2026AY 2010-11

Bench: Smt. Beena Pillai () & Shri Jagadish ()

Section 14ASection 36(1)Section 36(1)(vii)Section 36(1)(viia)Section 43B

…ot be said that it has become irrecoverable (Travancore Tea Estate Co. Ltd. v. Commissioner of Income-tax [1992], 197 ITR 528 (Ker.). The appeal to the Hon’ble Supreme Court was dismissed. (Travancore Tea Estate Co. Ltd . v. Commissioner of Income-tax [1998], 233 ITR 203 (SC)). The Hon’ble Supreme Court observed that whether a debt has become bad or the point of time when it became bad are pure questions of fact. In Commissioner of Income-tax v. Coates of India Ltd. [1998] 232 ITR 324 (Cal), it was held that the word “bad” used in conjunction with the word debt means worthless. The assessee is required to show th…

Yogendra Khandelwal, 1St Floor Somani Building Loha Mandi vs. Assisstant Commissioner Cercle 3 Jaipur, Jaipur

In the result the appeal of the assessee is allowed

ITA 202/JPR/2023[2011-12]Status: HeardITAT Jaipur14 Jun 2023AY 2011-12

Bench: The Date Of Hearing.”

For Appellant: Sh. P. C. Jain (FCA)For Respondent: Sh. A. S. Nehara(Addl. CIT)
Section 143(3)

…the Hon’ble Allahabad High Court that qua the entries of bad debts written off, semblance of genuineness has to be there and the same should not be mere paper work. Further, the Hon’ble Apex Court in the case of Travancore Tea Estates Co. Ltd. vs. CIT [1998] 233 ITR 203, has taken the view that though standard proof of proving the same as bad debt is not 7 Yogendra Khandelwal vs. ACIT required to be adopted and is to be decided on the wisdom of the assessee and not on the wisdom of the Assessing officer, but to show that the entry had been made as bad debt, there has to be some material in support of the same,…

M/S. Ws Retail Services Private Limited, Bangalore vs. Assistant Commissioner of Income Tax, Circle - 7(1)(2), Bangalore

In the result, the appeal filed by the assessee is treated as allowed for statistical purposes

ITA 1369/BANG/2019[2013-14]Status: DisposedITAT Bangalore23 Dec 2021AY 2013-14

Bench: Shri George George K. & Shri B.R. Baskaranassessment Year: 2013-14

For Appellant: Shri K.R. Vasudevan, A.RFor Respondent: Shri Pradeep Kumar, D.R

…ITA No.1369/Bang/2019 M/s. WS Retail Services Pvt. Ltd., Bangalore IN THE INCOME TAX APPELLATE TRIBUNAL “C’’BENCH: BANGALORE BEFORE SHRI GEORGE GEORGE K., JUDICIAL MEMBER AND SHRI B.R. BASKARAN, ACCOUNTANT MEMBER Assessment Year: 2013-14 M/s. WS Retail Services Pvt. Ltd. Ozone Manay Tech Park, No.56/18 B Block 9th Floor Garvebhavipalya ACIT Vs. Hosur Road, Bangalore 560 068 Circle-7(1)(2) Bangalore PAN NO :AAACW8725F APPELLANT RESPONDENT Appellant by : Shri K.R. Vasudevan, A.R. Respondent by : Shri Pradeep Kumar, D.R. Date of Hearing : 23.12.2021 Date of Pronouncement : 23.12.2021 O R D E R PERB.R. BASKAR…

Joseph Davaraj Koilpillai, Bangalore vs. Income Tax Officer Ward-6(3)(4), Bangalore

In the result, the appeal by the assessee is allowed

ITA 3239/BANG/2018[2014-15]Status: DisposedITAT Bangalore09 Oct 2020AY 2014-15

Bench: Shri N V Vasudevan & Shri B R Baskaranassessment Year: 2014-15

For Appellant: Shri V. Srinivasan, AdvocateFor Respondent: Smt. R. Premi, Jt. CIT(DR)(ITAT), Bengaluru
Section 36(1)(vii)

…laim deduction. The CIT(A), however, placed reliance on the decision of the ITAT Hyderabad Bench in the case of Natco Pharma Ltd., 29 taxmann.com 297 which in turn relied on the decision of Hon’ble Supreme Court in the case of Travancore Tea Estates Co. Ltd., 233 ITR 203 (SC) wherein a view was expressed that the assessee has to establish that the debt has become bad and irrecoverable to claim deduction on account of bad debts. The CIT(A) also referred to a decision of the ITAT Bangalore Bench in the case of Embassy Classic (P) Ltd., 20 taxmann.com 291 wherein it was held that writing off a debt as a bad debt is…

Khanpur Cold Storage P Ltd, Hooghly vs. A.C.I.T Cir - 24, Hooghly

Appeal is allowed

ITA 1057/KOL/2019[2013-14]Status: DisposedITAT Kolkata31 Dec 2019AY 2013-14

Bench: Shri S. S. Godara, Jm & Dr. A. L. Saini, Am आयकर अपीलसं./I.T.A No.1057/Kol/2019 ("नधा"रण वष" / Assessment Year: 2013-14) Khanpur Cold Storage P. Ltd. Vs. Acit, Circle-24, Hooghly. C/O. S.N. Ghosh & Associates, Advocates “Seben Brothers’ Lodge, P.O Buroshibtala, P.S. Chinsurah, Dist- Hoohgly, 712105. "थायीलेखासं./जीआइआरसं./Pan/Gir No.: Aabck2877P (Appellant) .. (Respondent)

For Appellant: Shri Somnath Ghosh, AdvocateFor Respondent: Smt. Ranu Biswas, Addl. CIT
Section 143(3)Section 36(1)(vii)

…uineness in the entry, which had been made, the same is not at all totally fake entry as the assessee would be entitled for deduction only if it is bad debt, or part thereof. The Hon'ble Apex Court in the case of Travancore Tea Estates Co, Ltd, vs. CIT (1999) 233 ITR 203 has taken the view, that as to whether a debt has become bad or at what point of time it became bad, are pure questions of fact. Though standard of proof of proving the same as bad debt, is not required to be adopted and is to be decided on the wisdom of the assessee and not on the wisdom of AO, but to show that entry which had been made as bad d…

Kamlesh S. Patil, Mumbai vs. ITO 24(2)(3), Mumbai

In the result, appeal of the assessee is allowed for statistical purposes as indicated above

ITA 1121/MUM/2017[2012-13]Status: DisposedITAT Mumbai15 Mar 2019AY 2012-13

Bench: Shri Ramit Kochar & Shri Ravish Soodआयकर अपीऱ सं./I.T.A. No.1121/Mum/2017 (नििाारण वर्ा / Assessment Year : 2012-13) बिाम/ Kamlesh S. Patil Ito 24(2)(3) Ockam Systems Room No. 609,6Th Floor, 1001, 10Th Floor, Piramal Chambers, V. Quantum Tower, Lalbaug, Mumbai Rambaug Lane 400012 Nadiyadwada Colony 2 Malad(West) Mumbai-400064 स्थायी ऱेखा सं./ Pan: Aadpp9859R (अपीऱाथी /Appellant) (प्रत्यथी / Respondent) .. Assessee By: Shri. Ajay R. Singh (Ar) Revenue By: Shri Manoj Kumar Singh, (Dr) सुनवाई की तारीख /Date Of Hearing : 22.01.2019 घोषणा की तारीख /Date Of Pronouncement : 15.03.2019 आदेश / O R D E R Per Ramit Kochar: This Appeal, Filed By Assessee, Being Ita No. 1121/Mum/2017, Is Directed Against Appellate Order Dated 29.12.2016 In Appeal No. Cit(A)-36/It-117/Ito-24(2)(3)/2015-16, Passed By Learned Commissioner Of Income Tax (Appeals)-36, Mumbai (Hereinafter Called “The Cit(A)”), For Assessment Year(Ay) 2012-13, The Appellate Proceedings Had Arisen Before Learned Cit(A) From The Assessment Order Dated 28.03.2015 Passed By Learned Assessing Officer

For Appellant: Shri. Ajay R. Singh (AR)For Respondent: Shri Manoj Kumar Singh, (DR)
Section 133(6)Section 143(2)Section 143(3)Section 36Section 36(1)(vii)

…of CIT vs. M/s Kohli Brothers Color Lab (P) Ltd, reported in (2010) 228 CTR (All) 84, the relevant part of the same is reproduced hereunder: “........... Hon'ble Apex Court in the case of Travancore Tea Estates Co. Ltd. Vs. CIT (1999) 151 CTR (SC) 231; (1998) 233 ITR 203 (SC) has taken the view, that as to whether a debt has become bad or at what point of time it became bad, are pure question of fact. Though standard of proof of proving the same is bad debt, is not required to be adopted and is to be decided on the wisdom of the respondent-appellant and not on the wisdom of Assessing Officer, but to show that ent…

Yogendra Khandelwal, Jaipur vs. JCIT, Jaipur

In the result, the appeal of the assessee in ITA No

ITA 735/JPR/2016[2011-12]Status: DisposedITAT Jaipur25 Sept 2018AY 2011-12
For Appellant: Shri P. C. Jain (Adv.)For Respondent: Shri J. C. Kulhari (JCIT)
Section 201Section 40

…eld that qua the entries of bad debts written off, semblance of genuineness has to be there and the same should not be mere paper work. Further, ld CIT(A) also referred to the decision of the Hon’ble Supreme Court in case of Tranvancore Tea Estates Ltd vs CIT 233 ITR 203 wherein it was held that to show that the entry in the books of accounts had been made as bad debt, there has to be some material in support of the same giving semblance of genuineness and trustfulness to the same in direction of forming an opinion that that said debt was arising out of trading activity, there was relationship of debtor or credit…

CIT vs. Vanord Acz India Pvt Ltd

Appeal is dismissed on this ground

ITA/974/2011HC Delhi27 Sept 2011

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

Section 11(6)Section 263Section 36

…he Commissioner referred to the judgment of Kerala High Court in Travan'core Teia gsfage Co, Ltd. Vs. CIT, 197 ITR 528 in support of his aforesaid view and the said judgment was approved by the Supreme Ccirurt in the case of Travancore Tea Estate Ltd, Vs. CIT,233 ITR 203. 3. The. assessee preferred appeal thereagainst which has been allowed by the Tribunal vide impugned order dated 26th March, 2010. The Tribunal has, inter alia observed that the Assessing Crificer hati specifically required the assessee to furnish a copy of the ieCEei account of the parties whose balances were written off as baci'Ceijt and the a…

CIT vs. Vanord Acz India Pvt Ltd

Appeal is dismissed on this ground

ITA - 974 / 2011HC Delhi27 Sept 2011
Section 11(6)Section 263Section 36

…he Commissioner referred to the judgment of Kerala High Court in Travan'core Teia gsfage Co, Ltd. Vs. CIT, 197 ITR 528 in support of his aforesaid view and the said judgment was approved by the Supreme Ccirurt in the case of Travancore Tea Estate Ltd, Vs. CIT,233 ITR 203. 3. The. assessee preferred appeal thereagainst which has been allowed by the Tribunal vide impugned order dated 26th March, 2010. The Tribunal has, inter alia observed that the Assessing Crificer hati specifically required the assessee to furnish a copy of the ieCEei account of the parties whose balances were written off as baci'Ceijt and the a…

Travancore Tea Estates Co. Ltd. v. CIT (233 ITR 203) — Cited in 10 Judgments | BharatTax