https://www.taxtmi.com/caselaws?id=235619 The Court upheld the Tribunal's decision, ruling in favor of the assessee and against the revenue. The conversion of the loan into a non refundable interest free unsecured loan was considered to be on capital account, not a revenue receipt under Section 41(1) of the Income Tax Act, 1961. The Court emphasized that the conversion did not change the nature of the amount from capital to revenue, as it remained part of the capital account in the balance-sheet of the assessee. The appeal by the Department was dismissed. en-us Tue, 23 Jul 2013 00:00:00 +0530 Mon, 29 Jul 2013 10:41:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=235619 The Court upheld the Tribunal's decision, ruling in favor of the assessee and against the revenue. The conversion of the loan into a non refundable interest free unsecured loan was considered to be on capital account, not a revenue receipt under Section 41(1) of the Income Tax Act, 1961. The Court emphasized that the conversion did not change the nature of the amount from capital to revenue, as it remained part of the capital account in the balance-sheet of the assessee. The appeal by the Department was dismissed. Case-Laws Income Tax Tue, 23 Jul 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=235619