https://www.taxtmi.com/caselaws?id=396634 The Tribunal allowed the assessee's appeal, directing the AO to delete the disallowance of interest amounting to Rs. 82,51,230 under Section 36(1)(iii) of the Income Tax Act, 1961. The Tribunal found that the borrowed funds were used for investments in subsidiary companies, aligning with the business objectives, and thus qualified as a deductible business expense. The Tribunal distinguished this case from others cited by the DR, noting the specific business purpose of the investments. The CIT(A)'s findings were set aside, and the order was pronounced on 30.06.2020. en-us Tue, 30 Jun 2020 00:00:00 +0530 Fri, 08 Nov 2024 11:02:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=396634 The Tribunal allowed the assessee's appeal, directing the AO to delete the disallowance of interest amounting to Rs. 82,51,230 under Section 36(1)(iii) of the Income Tax Act, 1961. The Tribunal found that the borrowed funds were used for investments in subsidiary companies, aligning with the business objectives, and thus qualified as a deductible business expense. The Tribunal distinguished this case from others cited by the DR, noting the specific business purpose of the investments. The CIT(A)'s findings were set aside, and the order was pronounced on 30.06.2020. Case-Laws Income Tax Tue, 30 Jun 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=396634