https://www.taxtmi.com/caselaws?id=69119 The Tribunal allowed the appeal of a firm of chartered accountants against the disallowance of interest claimed on loans for property construction. The Tribunal disagreed with the lower authorities' partial disallowance under section 36(1)(iii) of the Income-tax Act, 1961, emphasizing the lack of evidence showing diversion of borrowed funds for personal use. It held that interest on loans taken for business purposes should not be disallowed without proof of personal use. The Tribunal found no justification for the disallowance and allowed the appeal, advising the assessee to address additional grounds through the appropriate channels. en-us Thu, 04 Mar 1982 00:00:00 +0530 Tue, 05 Apr 2011 12:44:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=69119 The Tribunal allowed the appeal of a firm of chartered accountants against the disallowance of interest claimed on loans for property construction. The Tribunal disagreed with the lower authorities' partial disallowance under section 36(1)(iii) of the Income-tax Act, 1961, emphasizing the lack of evidence showing diversion of borrowed funds for personal use. It held that interest on loans taken for business purposes should not be disallowed without proof of personal use. The Tribunal found no justification for the disallowance and allowed the appeal, advising the assessee to address additional grounds through the appropriate channels. Case-Laws Income Tax Thu, 04 Mar 1982 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=69119