https://www.taxtmi.com/caselaws?id=363566 The ITAT Mumbai dismissed the appeal filed by the assessee against the disallowance of interest expenditure claimed as a business expense. The tribunal found that the assessee failed to establish a clear nexus between the interest earned and expended, with no concrete evidence provided to prove commercial expediency. Despite claims of investing in increasing holdings and group companies, the authorities noted a lack of material demonstrating the business purpose of the loan proceeds. Both the AO and CIT(A) concluded that no business activity was conducted by the assessee, leading to the dismissal of the appeal due to lack of supporting evidence. en-us Thu, 12 Jul 2018 00:00:00 +0530 Sat, 14 Jul 2018 12:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=363566 The ITAT Mumbai dismissed the appeal filed by the assessee against the disallowance of interest expenditure claimed as a business expense. The tribunal found that the assessee failed to establish a clear nexus between the interest earned and expended, with no concrete evidence provided to prove commercial expediency. Despite claims of investing in increasing holdings and group companies, the authorities noted a lack of material demonstrating the business purpose of the loan proceeds. Both the AO and CIT(A) concluded that no business activity was conducted by the assessee, leading to the dismissal of the appeal due to lack of supporting evidence. Case-Laws Income Tax Thu, 12 Jul 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=363566