https://www.taxtmi.com/caselaws?id=264387 The High Court upheld the Tribunal's decision to disallow the interest deduction claimed by the assessee, a partnership firm, on a borrowed loan that was advanced to its sister concern for a real estate project. The court found that the borrowed funds were not utilized for the assessee's business purposes, emphasizing the lack of commercial expediency in the transaction. The court dismissed the appeals, ruling in favor of the Revenue and underscoring the importance of establishing commercial expediency with concrete evidence to support deductions under the Income Tax Act. en-us Tue, 08 Sep 2015 00:00:00 +0530 Fri, 18 Dec 2015 15:52:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=264387 The High Court upheld the Tribunal's decision to disallow the interest deduction claimed by the assessee, a partnership firm, on a borrowed loan that was advanced to its sister concern for a real estate project. The court found that the borrowed funds were not utilized for the assessee's business purposes, emphasizing the lack of commercial expediency in the transaction. The court dismissed the appeals, ruling in favor of the Revenue and underscoring the importance of establishing commercial expediency with concrete evidence to support deductions under the Income Tax Act. Case-Laws Income Tax Tue, 08 Sep 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=264387