https://www.taxtmi.com/caselaws?id=179997 The High Court upheld the decision of the Tribunal and Commissioner of Income Tax (Appeals) in favor of the Assessee, ruling that disallowance of interest claimed under Section 36(1)(iii) was not justified. The Court emphasized that without establishing a clear nexus between borrowed funds and their use, denial of interest allowances is unwarranted. As both lower authorities found sufficient interest-free funds with the Assessee, the Court concluded that there was no basis to interfere with their findings, ultimately ruling in favor of the Assessee. en-us Tue, 05 Feb 2013 00:00:00 +0530 Fri, 05 Jun 2026 12:12:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=179997 The High Court upheld the decision of the Tribunal and Commissioner of Income Tax (Appeals) in favor of the Assessee, ruling that disallowance of interest claimed under Section 36(1)(iii) was not justified. The Court emphasized that without establishing a clear nexus between borrowed funds and their use, denial of interest allowances is unwarranted. As both lower authorities found sufficient interest-free funds with the Assessee, the Court concluded that there was no basis to interfere with their findings, ultimately ruling in favor of the Assessee. Case-Laws Income Tax Tue, 05 Feb 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=179997