https://www.taxtmi.com/caselaws?id=352851 The tribunal upheld the disallowance of finance cost under Section 36(1)(iii) of the Income Tax Act, 1961, in a case involving an advertising agency. The assessee's appeal was dismissed as they failed to demonstrate business activity during the relevant period and lacked evidence to prove the finance cost was incurred for business purposes. The tribunal also implicitly affirmed the imposition/re-computation of interest under Section 234B, rejecting the appeal on that issue without detailed discussion. The decision highlighted the importance of substantiating business expenses and transactions to avoid disallowances. en-us Wed, 20 Dec 2017 00:00:00 +0530 Fri, 22 Dec 2017 08:10:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=352851 The tribunal upheld the disallowance of finance cost under Section 36(1)(iii) of the Income Tax Act, 1961, in a case involving an advertising agency. The assessee's appeal was dismissed as they failed to demonstrate business activity during the relevant period and lacked evidence to prove the finance cost was incurred for business purposes. The tribunal also implicitly affirmed the imposition/re-computation of interest under Section 234B, rejecting the appeal on that issue without detailed discussion. The decision highlighted the importance of substantiating business expenses and transactions to avoid disallowances. Case-Laws Income Tax Wed, 20 Dec 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=352851