https://www.taxtmi.com/caselaws?id=119135 The Tribunal allowed the appellant's appeal, overturning the disallowance of interest on advances to sister companies. The Tribunal held that the change in accounting method is at the assessee's discretion unless mala fide intentions are proven, emphasizing each assessment year should be considered independently. It stated that the disallowance lacked justification due to the assessing authority's failure to establish a connection between borrowed funds and transfers to sister concerns. The Tribunal supported the appellant's switch to cash basis accounting, citing business expediency and protection of business reputation and credibility. en-us Fri, 07 Jan 2005 00:00:00 +0530 Mon, 09 Jul 2012 12:31:29 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=119135 The Tribunal allowed the appellant's appeal, overturning the disallowance of interest on advances to sister companies. The Tribunal held that the change in accounting method is at the assessee's discretion unless mala fide intentions are proven, emphasizing each assessment year should be considered independently. It stated that the disallowance lacked justification due to the assessing authority's failure to establish a connection between borrowed funds and transfers to sister concerns. The Tribunal supported the appellant's switch to cash basis accounting, citing business expediency and protection of business reputation and credibility. Case-Laws Income Tax Fri, 07 Jan 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=119135