https://www.taxtmi.com/caselaws?id=278922 Under the mercantile system, accrued interest on borrowings used for investment in shares and securities was treated as deductible where the surrounding facts showed an oral understanding and a nexus with the borrowed funds; the proportion attributable to share investment was capitalised as part of acquisition cost rather than allowed as revenue outgo. An ad hoc addition for personal household expenses was considered excessive and reduced further on a comparative family basis. Levy of interest for delay remained applicable, but the computation had to be recomputed after giving credit for tax deductible at source. One matter concerning unexplained bank entries was remanded for fresh adjudication on the assessee's explanation and evidence. en-us Wed, 27 Dec 2017 00:00:00 +0530 Mon, 25 Feb 2019 23:53:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=278922 Under the mercantile system, accrued interest on borrowings used for investment in shares and securities was treated as deductible where the surrounding facts showed an oral understanding and a nexus with the borrowed funds; the proportion attributable to share investment was capitalised as part of acquisition cost rather than allowed as revenue outgo. An ad hoc addition for personal household expenses was considered excessive and reduced further on a comparative family basis. Levy of interest for delay remained applicable, but the computation had to be recomputed after giving credit for tax deductible at source. One matter concerning unexplained bank entries was remanded for fresh adjudication on the assessee's explanation and evidence. Case-Laws Income Tax Wed, 27 Dec 2017 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=278922