Deductible Late Payment Interest on Royalty to Government for AY 1964-65

The High Court of Calcutta held that interest paid for late payment of royalty to the Government of Bihar was an admissible deduction for the assessment year 1964-65, referencing the judgment in Mahalaxmi Textile Mills Co. Ltd. v. CIT [1980] 123 ITR 429. No order as to costs was made.

---

---

The High Court of Calcutta, in a reference under the I.T. Act, 1961, ruled that interest paid for late payment of royalty to the Government of Bihar was an admissible deduction for the assessment year 1964-65, based on the judgment in Mahalaxmi Textile Mills Co. Ltd. v. CIT [1980] 123 ITR 429. No order as to costs.

---