Meaning of tax terms

Meaning of “Irrecoverable”

Posted on by Prashant Thakur

Case Name : Kerala State Industrial Development Corpn. Ltd. Vs. CIT

Citation :[2006] 151 TAXMAN 127/281 ITR 413/201 CTR 144 (KER.)

Court : Kerala High Court

Section : 36

Meaning : Whatever be the attendant circumstances, unless and until a debt has been written off as ‘irrecoverable’ as provided under section 36(2)(i)(b), the assessee cannot claim any deduction for bad debts. The word ‘irrecoverable’ in section 36(2)(i)(b) means the amount that is not recoverable.

Prashant Thakur

The author has spent more than 30 years in the field of taxation. Wrote four books -3 on on Indian Tax Law and 1 on US tax law for cryptocurrency. Apart from https:taxworry.com , he also writes on https://irstaxapp.com which is for US tax laws. He is a tech enthusiast and manages a cloud computing company that publishes innovative software.

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