https://www.taxtmi.com/caselaws?id=366327 Interest on borrowed funds used for construction-related liabilities was held to retain a sufficient nexus with the property investment, so it could not be disallowed in full under section 24(b). The borrowing chronology and the assessee's use of fresh funds to repay earlier construction creditors supported only partial allowance, and the interest had to be apportioned between house property income and business income on the basis of the respective investments. The circular relied on by the Revenue did not defeat the claim once nexus was established, and the balance interest remained deductible as business interest. en-us Fri, 24 Aug 2018 00:00:00 +0530 Sat, 01 Sep 2018 08:16:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=366327 Interest on borrowed funds used for construction-related liabilities was held to retain a sufficient nexus with the property investment, so it could not be disallowed in full under section 24(b). The borrowing chronology and the assessee's use of fresh funds to repay earlier construction creditors supported only partial allowance, and the interest had to be apportioned between house property income and business income on the basis of the respective investments. The circular relied on by the Revenue did not defeat the claim once nexus was established, and the balance interest remained deductible as business interest. Case-Laws Income Tax Fri, 24 Aug 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=366327