https://www.taxtmi.com/caselaws?id=446647 ITAT Mumbai upheld CIT(A)'s decision allowing deduction u/s 57(iii) for interest expenditure. Revenue challenged the deduction claiming assessee failed to establish nexus between interest income and expenditure. ITAT found AO did not dispute genuineness of interest claims supported by audited financial statements. Assessee demonstrated clear nexus between interest income earned and expenditure incurred through material evidence. Interest expenditure was wholly and exclusively for earning interest income on advances and loans. CIT(A)'s reasoned order considering facts and allocation methodology was upheld. Revenue's appeal dismissed. en-us Thu, 23 Nov 2023 00:00:00 +0530 Fri, 08 Dec 2023 08:56:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=446647 ITAT Mumbai upheld CIT(A)'s decision allowing deduction u/s 57(iii) for interest expenditure. Revenue challenged the deduction claiming assessee failed to establish nexus between interest income and expenditure. ITAT found AO did not dispute genuineness of interest claims supported by audited financial statements. Assessee demonstrated clear nexus between interest income earned and expenditure incurred through material evidence. Interest expenditure was wholly and exclusively for earning interest income on advances and loans. CIT(A)'s reasoned order considering facts and allocation methodology was upheld. Revenue's appeal dismissed. Case-Laws Income Tax Thu, 23 Nov 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=446647