ITAT Affirms CIT(A)’s Deletion of Bad Debts, Management Fee & Depreciation

The ITAT upheld the CIT(A)’s deletion of disallowances relating to bad debts, management fee, and depreciation. The assessing officer had disallowed the expenses citing poor documentation, but the taxpayer produced supporting invoices, management services agreements, and Form 26AS. The tribunal found that the CIT(A) had properly evaluated and verified the evidences, concluding that the expenses were “wholly and exclusively” for business. The decision emphasizes the importance of fair assessment, evidentiary verification, and upholding genuine business expenditures under Income‑Tax law.