https://www.taxtmi.com/caselaws?id=750912 Interest disallowance under section 36(1)(iii) turned on whether the assessee had sufficient interest-free funds when advances were made to a director. Account statements, Form 26AS, ledger extracts, the partnership deed, PAN details and the balance sheet were treated as material to verify the source and flow of funds and whether the advances came from borrowed funds or interest-free resources. As the evidence had not been produced before the lower authorities but was necessary for proper adjudication, additional evidence was admitted and the matter was restored for fresh verification by the Assessing Officer. en-us Mon, 01 Apr 2024 00:00:00 +0530 Mon, 12 Aug 2024 12:51:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=750912 Interest disallowance under section 36(1)(iii) turned on whether the assessee had sufficient interest-free funds when advances were made to a director. Account statements, Form 26AS, ledger extracts, the partnership deed, PAN details and the balance sheet were treated as material to verify the source and flow of funds and whether the advances came from borrowed funds or interest-free resources. As the evidence had not been produced before the lower authorities but was necessary for proper adjudication, additional evidence was admitted and the matter was restored for fresh verification by the Assessing Officer. Case-Laws Income Tax Mon, 01 Apr 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=750912