https://www.taxtmi.com/caselaws?id=77026 The Authority ruled in favor of the applicant, a public financial institution, allowing deductions under section 36(1)(viii) of the Income Tax Act for both interest income derived from bonds issued by the Madhya Pradesh Government and the pre-payment premium received for early loan repayment. The interest income from the bonds was deemed directly linked to the long-term finance provided to the debtor, while the pre-payment premium was considered integral to the financing transaction, akin to a swapping premium. The ruling was issued on 23rd July 2010. en-us Fri, 23 Jul 2010 00:00:00 +0530 Sat, 06 Jul 2013 10:53:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=77026 The Authority ruled in favor of the applicant, a public financial institution, allowing deductions under section 36(1)(viii) of the Income Tax Act for both interest income derived from bonds issued by the Madhya Pradesh Government and the pre-payment premium received for early loan repayment. The interest income from the bonds was deemed directly linked to the long-term finance provided to the debtor, while the pre-payment premium was considered integral to the financing transaction, akin to a swapping premium. The ruling was issued on 23rd July 2010. Case-Laws Income Tax Fri, 23 Jul 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=77026