https://www.taxtmi.com/caselaws?id=177515 The Tribunal overturned the CIT(A)'s decision, directing the AO to delete the disallowance of Rs. 6,32,980/- related to interest expenses. It determined that the assessee had sufficient interest-free funds to cover the interest-free advances, aligning with the Supreme Court's judgment in Munjal Sales Corp Vs CIT. The Tribunal emphasized that disallowance of interest expenses is unjustified unless it is proven that interest-free advances were made from interest-bearing funds. The decision was pronounced immediately in the open court, allowing the assessee's appeal. en-us Mon, 29 Apr 2013 00:00:00 +0530 Fri, 23 Feb 2024 12:59:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=177515 The Tribunal overturned the CIT(A)'s decision, directing the AO to delete the disallowance of Rs. 6,32,980/- related to interest expenses. It determined that the assessee had sufficient interest-free funds to cover the interest-free advances, aligning with the Supreme Court's judgment in Munjal Sales Corp Vs CIT. The Tribunal emphasized that disallowance of interest expenses is unjustified unless it is proven that interest-free advances were made from interest-bearing funds. The decision was pronounced immediately in the open court, allowing the assessee's appeal. Case-Laws Income Tax Mon, 29 Apr 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=177515