https://www.taxtmi.com/caselaws?id=15508 The High Court upheld the Tribunal's decision to disallow the deduction of interest claimed by the assessees under sections 57 or 67 of the Income-tax Act. The court found no nexus between the borrowed money and the acquisition of shares by the private limited company, leading to the disallowance of the interest claimed. Additionally, the court rejected the argument that the investments were made to keep the firm operational, emphasizing that the amounts were used to clear the partners' liability and were not directly linked to the acquisition of shares. Ultimately, the High Court dismissed the income-tax cases as no question of law was found to arise for consideration. en-us Tue, 08 Jun 1999 00:00:00 +0530 Tue, 25 Aug 2009 16:26:16 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15508 The High Court upheld the Tribunal's decision to disallow the deduction of interest claimed by the assessees under sections 57 or 67 of the Income-tax Act. The court found no nexus between the borrowed money and the acquisition of shares by the private limited company, leading to the disallowance of the interest claimed. Additionally, the court rejected the argument that the investments were made to keep the firm operational, emphasizing that the amounts were used to clear the partners' liability and were not directly linked to the acquisition of shares. Ultimately, the High Court dismissed the income-tax cases as no question of law was found to arise for consideration. Case-Laws Income Tax Tue, 08 Jun 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15508