https://www.taxtmi.com/caselaws?id=65932 The Tribunal allowed the appeal partially, permitting the deduction of interest at a higher rate as a contractual obligation between the assessee and the State Government. The interest disallowed as penal interest was considered compensatory for delayed payment and not a penalty, thus allowing it as a deduction. However, the Tribunal confirmed the disallowance of interest related to the preceding assessment year due to the failure to anticipate rescheduling. The appeal resulted in relief granted for the higher rate interest but upheld the disallowance of interest from the preceding assessment year. en-us Wed, 25 Aug 1982 00:00:00 +0530 Sat, 19 Feb 2011 13:23:52 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=65932 The Tribunal allowed the appeal partially, permitting the deduction of interest at a higher rate as a contractual obligation between the assessee and the State Government. The interest disallowed as penal interest was considered compensatory for delayed payment and not a penalty, thus allowing it as a deduction. However, the Tribunal confirmed the disallowance of interest related to the preceding assessment year due to the failure to anticipate rescheduling. The appeal resulted in relief granted for the higher rate interest but upheld the disallowance of interest from the preceding assessment year. Case-Laws Income Tax Wed, 25 Aug 1982 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=65932