https://www.taxtmi.com/caselaws?id=296753 Deductibility under clause (iii) of section 10(2) is confined to interest on capital borrowed for a business whose profits are assessable in the assessee's hands; where an unregistered firm is assessed and taxed as a unit, borrowings used for that firm's purposes do not qualify for deduction in the partner's individual assessment. The High Court applied the principle that partner's share in profits of an assessed unregistered firm is not separately taxable, found no evidence of a separate taxable money lending business by the assessee, and concluded no deduction is allowable for interest paid on loans advanced to the two unregistered firms. en-us Tue, 19 Jan 1960 00:00:00 +0530 Thu, 05 Aug 2021 18:19:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=296753 Deductibility under clause (iii) of section 10(2) is confined to interest on capital borrowed for a business whose profits are assessable in the assessee's hands; where an unregistered firm is assessed and taxed as a unit, borrowings used for that firm's purposes do not qualify for deduction in the partner's individual assessment. The High Court applied the principle that partner's share in profits of an assessed unregistered firm is not separately taxable, found no evidence of a separate taxable money lending business by the assessee, and concluded no deduction is allowable for interest paid on loans advanced to the two unregistered firms. Case-Laws Income Tax Tue, 19 Jan 1960 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=296753