https://www.taxtmi.com/circulars?id=2837 Converted interest (including Funded Interest Term Loans) does not amount to actual payment by mere conversion; deduction under section 43B is admissible only in the previous year when such converted interest is actually paid. Waiver of interest is not deductible. If converted interest is merged with principal and repayments are indistinguishable, the interest component of any repayment must be apportioned and only that portion is deductible. Assessing Officers may require lender certification to verify actual payment. en-us Mon, 17 Jul 2006 00:00:00 +0530 Mon, 11 Aug 2008 12:55:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=2837 Converted interest (including Funded Interest Term Loans) does not amount to actual payment by mere conversion; deduction under section 43B is admissible only in the previous year when such converted interest is actually paid. Waiver of interest is not deductible. If converted interest is merged with principal and repayments are indistinguishable, the interest component of any repayment must be apportioned and only that portion is deductible. Assessing Officers may require lender certification to verify actual payment. Circulars Income Tax Mon, 17 Jul 2006 00:00:00 +0530 https://www.taxtmi.com/circulars?id=2837