https://www.taxtmi.com/caselaws?id=180449 The Tribunal partially allowed the appeal, directing the deletion of the disallowance under section 36(1)(iii) of the Act. This decision was based on the availability of interest-free funds surpassing the amount advanced to sister concerns. The judgment emphasized the necessity of proving commercial expediency in advancing loans and the source of funds for investments to ascertain the deductibility of interest. The Tribunal highlighted the burden on the assessee to demonstrate the business utility of the funds advanced, and the need to balance interest-free and interest-bearing funds for investment purposes. en-us Fri, 23 Dec 2011 00:00:00 +0530 Thu, 07 Sep 2017 12:24:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=180449 The Tribunal partially allowed the appeal, directing the deletion of the disallowance under section 36(1)(iii) of the Act. This decision was based on the availability of interest-free funds surpassing the amount advanced to sister concerns. The judgment emphasized the necessity of proving commercial expediency in advancing loans and the source of funds for investments to ascertain the deductibility of interest. The Tribunal highlighted the burden on the assessee to demonstrate the business utility of the funds advanced, and the need to balance interest-free and interest-bearing funds for investment purposes. Case-Laws Income Tax Fri, 23 Dec 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=180449