https://www.taxtmi.com/caselaws?id=10457 The court held that interest paid on borrowed capital for acquiring plants and machineries before they are first put to use is not deductible under Section 36(1)(iii) or Section 37 of the Income-tax Act, 1961. The interest should be included in the actual cost of the asset, making it capital expenditure eligible for capitalization. The Tribunal's decision against the assessee was upheld, dismissing the appeals in favor of the Department. en-us Fri, 08 Oct 2004 00:00:00 +0530 Thu, 16 Jul 2009 10:07:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=10457 The court held that interest paid on borrowed capital for acquiring plants and machineries before they are first put to use is not deductible under Section 36(1)(iii) or Section 37 of the Income-tax Act, 1961. The interest should be included in the actual cost of the asset, making it capital expenditure eligible for capitalization. The Tribunal's decision against the assessee was upheld, dismissing the appeals in favor of the Department. Case-Laws Income Tax Fri, 08 Oct 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=10457