https://www.taxtmi.com/caselaws?id=68961 The tribunal upheld the decision to allow the deduction of interest on fixed deposits in computing total income for the assessment year 1978-79. It rejected the revenue's argument that the interest payment contravened the law and emphasized that the interest was directly related to the business activities of the assessee. Citing legal precedents, including a judgment by the Madras High Court, the tribunal confirmed that the interest expenditure was necessary for earning income and did not automatically disallow a deduction due to a breach of the Companies Act. The appeal was ultimately dismissed in favor of the assessee. en-us Wed, 24 Nov 1982 00:00:00 +0530 Mon, 04 Apr 2011 12:14:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=68961 The tribunal upheld the decision to allow the deduction of interest on fixed deposits in computing total income for the assessment year 1978-79. It rejected the revenue's argument that the interest payment contravened the law and emphasized that the interest was directly related to the business activities of the assessee. Citing legal precedents, including a judgment by the Madras High Court, the tribunal confirmed that the interest expenditure was necessary for earning income and did not automatically disallow a deduction due to a breach of the Companies Act. The appeal was ultimately dismissed in favor of the assessee. Case-Laws Income Tax Wed, 24 Nov 1982 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=68961