https://www.taxtmi.com/caselaws?id=410942 SC held that under the facts-a rehabilitation plan where debentures were issued and accepted in discharge of outstanding interest-the issuance extinguished the interest liability and amounted to actual payment for purposes of s.43B. The Court found no misuse of s.43B and that Explanation 3C (introduced to deny treatment where unpaid interest is converted into a loan) did not apply. The High Court judgments were set aside, the ITAT decision restored, and the appeals allowed in favor of the assessee. en-us Wed, 11 Aug 2021 00:00:00 +0530 Sat, 13 Sep 2025 11:56:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=410942 SC held that under the facts-a rehabilitation plan where debentures were issued and accepted in discharge of outstanding interest-the issuance extinguished the interest liability and amounted to actual payment for purposes of s.43B. The Court found no misuse of s.43B and that Explanation 3C (introduced to deny treatment where unpaid interest is converted into a loan) did not apply. The High Court judgments were set aside, the ITAT decision restored, and the appeals allowed in favor of the assessee. Case-Laws Income Tax Wed, 11 Aug 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=410942