https://www.taxtmi.com/caselaws?id=151611 The Tribunal overturned the disallowance of interest paid at 24 percent to relatives under section 40A(2)(b) of the Income Tax Act, 1961. The Tribunal considered the consistency of interest rates, the nature of the business, and past transactions with the relative, ultimately finding the 24 percent rate justifiable. Emphasizing the taxpayer's discretion in setting reasonable rates and citing legal precedents, the Tribunal ruled in favor of the appellant, deleting the disallowance and allowing the appeal. en-us Fri, 07 May 2010 00:00:00 +0530 Wed, 27 Sep 2023 13:13:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=151611 The Tribunal overturned the disallowance of interest paid at 24 percent to relatives under section 40A(2)(b) of the Income Tax Act, 1961. The Tribunal considered the consistency of interest rates, the nature of the business, and past transactions with the relative, ultimately finding the 24 percent rate justifiable. Emphasizing the taxpayer's discretion in setting reasonable rates and citing legal precedents, the Tribunal ruled in favor of the appellant, deleting the disallowance and allowing the appeal. Case-Laws Income Tax Fri, 07 May 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=151611