https://www.taxtmi.com/caselaws?id=410624 The Tribunal ruled in favor of the assessee in ITA No.6435/Mum/2018 for A.Y.2014-15, holding that the disallowance of interest under section 36(1)(iii) of the Income Tax Act was not justified. The Tribunal found that the investment in the partnership firm was for business purposes, establishing a clear nexus between borrowed funds and business activities, thereby allowing the interest deduction. The appeal was allowed, and the disallowance of interest was set aside by the Tribunal's decision on 22/06/2021. en-us Tue, 22 Jun 2021 00:00:00 +0530 Thu, 05 Aug 2021 22:20:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=410624 The Tribunal ruled in favor of the assessee in ITA No.6435/Mum/2018 for A.Y.2014-15, holding that the disallowance of interest under section 36(1)(iii) of the Income Tax Act was not justified. The Tribunal found that the investment in the partnership firm was for business purposes, establishing a clear nexus between borrowed funds and business activities, thereby allowing the interest deduction. The appeal was allowed, and the disallowance of interest was set aside by the Tribunal's decision on 22/06/2021. Case-Laws Income Tax Tue, 22 Jun 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=410624