- (1.) Heard learned counsel on both sides.
(2.) This civil appeal filed by the Assessee pertains to the assessment year 1988-89. This case pertains to the period prior to April 1, 1989.
(3.) The Assessee is a State public sector undertaking. It claimed deduction for bad debt under Section 36(1)(vii) of the Income-tax Act, 1961 (for short, "the Act"), which required two conditions to be satisfied at the relevant time, namely, that (a) bad debt must be established to have become bad in that year; and (b) bad debt should have been written off in the books of account of that year.;