https://www.taxtmi.com/caselaws?id=15852 Interest on outstanding borrowings under the Tamil Nadu Agricultural Income-tax Act was not fully deductible under section 5(e) where the assessee failed to furnish particulars showing how the borrowed funds had been used in earlier years. Section 5(k) applies to interest on amounts borrowed and actually spent on land from which agricultural income is derived, and it is not limited to borrowings made in the same previous year. Because the funds were pooled in a common account and the earlier utilisation could not be identified, the assessing authority was entitled to adopt a fair apportionment method, using the proportion of expenditure falling under sections 5(e) and 5(k) in the relevant year. en-us Tue, 26 Aug 1997 00:00:00 +0530 Sat, 29 Aug 2009 15:13:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15852 Interest on outstanding borrowings under the Tamil Nadu Agricultural Income-tax Act was not fully deductible under section 5(e) where the assessee failed to furnish particulars showing how the borrowed funds had been used in earlier years. Section 5(k) applies to interest on amounts borrowed and actually spent on land from which agricultural income is derived, and it is not limited to borrowings made in the same previous year. Because the funds were pooled in a common account and the earlier utilisation could not be identified, the assessing authority was entitled to adopt a fair apportionment method, using the proportion of expenditure falling under sections 5(e) and 5(k) in the relevant year. Case-Laws Income Tax Tue, 26 Aug 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15852