https://www.taxtmi.com/caselaws?id=341801 The High Court ruled in favor of the appellant, allowing the deduction of interest payment against interest income on fixed deposits made for business purposes. The court held that the fixed deposits were created to secure a loan for business, justifying the deduction. It dismissed the Revenue's argument on netting/set off under Section 57 (iii) of the Income Tax Act, emphasizing the business purpose of the fixed deposits. The Court affirmed the decisions of the CIT (A) and ITAT, dismissing appeals challenging the disallowance of interest without proper justification and the correctness of the borrowing amount. en-us Tue, 28 Mar 2017 00:00:00 +0530 Tue, 18 Apr 2017 09:00:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=341801 The High Court ruled in favor of the appellant, allowing the deduction of interest payment against interest income on fixed deposits made for business purposes. The court held that the fixed deposits were created to secure a loan for business, justifying the deduction. It dismissed the Revenue's argument on netting/set off under Section 57 (iii) of the Income Tax Act, emphasizing the business purpose of the fixed deposits. The Court affirmed the decisions of the CIT (A) and ITAT, dismissing appeals challenging the disallowance of interest without proper justification and the correctness of the borrowing amount. Case-Laws Income Tax Tue, 28 Mar 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=341801