Pre-acquisition interest deduction must be allocated in equal instalments over specified succeeding years under income tax law. Where property is acquired or constructed with borrowed capital, pre-acquisition interest, reduced by any part already allowed as a deduction under the Act, shall be deducted under the clause in equal instalments for the year of acquisition or construction and for each of the four immediately succeeding years.
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Provisions expressly mentioned in the judgment/order text.
Pre-acquisition interest deduction must be allocated in equal instalments over specified succeeding years under income tax law.
Where property is acquired or constructed with borrowed capital, pre-acquisition interest, reduced by any part already allowed as a deduction under the Act, shall be deducted under the clause in equal instalments for the year of acquisition or construction and for each of the four immediately succeeding years.
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