https://www.taxtmi.com/caselaws?id=295746 The ITAT Mumbai allowed the appeal of the assessee and directed the Assessing Officer to delete the disallowance of interest under Section 36(1)(iii) of the Act. The ITAT held that the availability of interest-free funds was sufficient to presume that the investment was made from such funds, disagreeing with the CIT(A) and the Assessing Officer's conclusions. The ITAT emphasized that tax authorities cannot dictate business decisions and referenced a Supreme Court decision supporting the use of interest-free funds for investments. en-us Fri, 10 Jul 2020 00:00:00 +0530 Fri, 18 Jun 2021 08:11:44 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=295746 The ITAT Mumbai allowed the appeal of the assessee and directed the Assessing Officer to delete the disallowance of interest under Section 36(1)(iii) of the Act. The ITAT held that the availability of interest-free funds was sufficient to presume that the investment was made from such funds, disagreeing with the CIT(A) and the Assessing Officer's conclusions. The ITAT emphasized that tax authorities cannot dictate business decisions and referenced a Supreme Court decision supporting the use of interest-free funds for investments. Case-Laws Income Tax Fri, 10 Jul 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=295746