https://www.taxtmi.com/caselaws?id=12848 The High Court of Punjab and Haryana ruled in a series of income-tax appeals that the unpaid purchase price can be considered as borrowed capital for property acquisition under section 24(1)(vi) of the Income-tax Act, 1961. The Court upheld the taxpayer's deduction claim for interest paid on instalments, emphasizing the provision's intent to encourage building construction. It distinguished cases where interest disallowance was warranted and affirmed that the interest portion of the purchase price included in the instalments was eligible for deduction. The Revenue's appeals were dismissed, and the decisions of the lower authorities were upheld in favor of the taxpayer. en-us Mon, 11 Feb 2002 00:00:00 +0530 Fri, 22 May 2009 15:11:35 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=12848 The High Court of Punjab and Haryana ruled in a series of income-tax appeals that the unpaid purchase price can be considered as borrowed capital for property acquisition under section 24(1)(vi) of the Income-tax Act, 1961. The Court upheld the taxpayer's deduction claim for interest paid on instalments, emphasizing the provision's intent to encourage building construction. It distinguished cases where interest disallowance was warranted and affirmed that the interest portion of the purchase price included in the instalments was eligible for deduction. The Revenue's appeals were dismissed, and the decisions of the lower authorities were upheld in favor of the taxpayer. Case-Laws Income Tax Mon, 11 Feb 2002 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=12848