https://www.taxtmi.com/caselaws?id=307240 The Appellate Tribunal upheld the CIT(A)'s decision to delete the disallowance under section 36(1)(iii), emphasizing the commercial expediency and business purpose behind the investment in the subsidiary company. The Tribunal clarified the legal distinction between equity investments and interest-free loans, affirming that as long as funds are utilized for business activities, the interest deduction is permissible under the Income Tax Act. en-us Wed, 09 Feb 2022 00:00:00 +0530 Thu, 30 Mar 2023 01:21:55 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=307240 The Appellate Tribunal upheld the CIT(A)'s decision to delete the disallowance under section 36(1)(iii), emphasizing the commercial expediency and business purpose behind the investment in the subsidiary company. The Tribunal clarified the legal distinction between equity investments and interest-free loans, affirming that as long as funds are utilized for business activities, the interest deduction is permissible under the Income Tax Act. Case-Laws Income Tax Wed, 09 Feb 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=307240