https://www.taxtmi.com/caselaws?id=312133 The Tribunal allowed the appeal of the assessee, deleting the addition of excessive interest under section 40A(2)(b) for Assessment Year 2005-06. The Tribunal found that the 18% interest rate paid was not excessive, considering factors such as the absence of security requirements and the loan's purpose. It noted that similar interest rates were paid to other parties not covered by section 40A(2)(b). The decision was consistent with the previous year's ruling where a similar addition was deleted by the CIT(A) without further appeal by the Revenue. en-us Fri, 30 Mar 2012 00:00:00 +0530 Fri, 02 Feb 2024 18:27:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=312133 The Tribunal allowed the appeal of the assessee, deleting the addition of excessive interest under section 40A(2)(b) for Assessment Year 2005-06. The Tribunal found that the 18% interest rate paid was not excessive, considering factors such as the absence of security requirements and the loan's purpose. It noted that similar interest rates were paid to other parties not covered by section 40A(2)(b). The decision was consistent with the previous year's ruling where a similar addition was deleted by the CIT(A) without further appeal by the Revenue. Case-Laws Income Tax Fri, 30 Mar 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=312133