https://www.taxtmi.com/caselaws?id=15596 Under section 5(k) of the Tamil Nadu Agricultural Income-tax Act, interest received could not be netted off against interest paid before computing the deduction. The computation of income and deductible expenditure had to be made separately: interest received remained income, while interest paid was deductible only to the extent permitted by the statutory ceiling then in force. The assessee could not enlarge the allowance by first reducing interest paid by interest received and then applying the cap. The deduction was therefore to be worked out on the gross interest paid, subject to the statutory limit, favouring the Revenue. en-us Fri, 29 Aug 1997 00:00:00 +0530 Wed, 26 Aug 2009 12:36:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15596 Under section 5(k) of the Tamil Nadu Agricultural Income-tax Act, interest received could not be netted off against interest paid before computing the deduction. The computation of income and deductible expenditure had to be made separately: interest received remained income, while interest paid was deductible only to the extent permitted by the statutory ceiling then in force. The assessee could not enlarge the allowance by first reducing interest paid by interest received and then applying the cap. The deduction was therefore to be worked out on the gross interest paid, subject to the statutory limit, favouring the Revenue. Case-Laws Income Tax Fri, 29 Aug 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15596