https://www.taxtmi.com/forum/issue?id=1604 Unsecured loans taken before 01.04.2004 remain liabilities despite no interest being provided in a later year; non-provision of interest does not extinguish the debt or make the outstanding amount taxable. Loan waiver, if it occurs, is generally treated as a capital receipt rather than revenue. Assessing officers are limited to making adjustments in the assessment year in which the transaction occurred and may not tax prior borrowings in a subsequent year solely because interest was not provided. en-us Thu, 12 Nov 2009 15:02:15 +0530 Thu, 23 Jan 2025 15:58:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=1604 Unsecured loans taken before 01.04.2004 remain liabilities despite no interest being provided in a later year; non-provision of interest does not extinguish the debt or make the outstanding amount taxable. Loan waiver, if it occurs, is generally treated as a capital receipt rather than revenue. Assessing officers are limited to making adjustments in the assessment year in which the transaction occurred and may not tax prior borrowings in a subsequent year solely because interest was not provided. Discussion-Forum Income Tax Thu, 12 Nov 2009 15:02:15 +0530 https://www.taxtmi.com/forum/issue?id=1604