https://www.taxtmi.com/caselaws?id=456826 ITAT Bangalore dismissed the assessee's appeal regarding addition of interest income under mercantile accounting principles. The tribunal held that despite board resolution not recognizing interest income on loans advanced, the assessee must record accrued interest as per loan agreements under Section 145 and AS-9. The AO correctly computed income under mercantile system. However, regarding Section 69C addition for unexplained expenditure to SREI Infrastructure Ltd., the tribunal remitted the matter to AO for fresh consideration, directing the assessee to establish the expenditure was wholly and exclusively for business purposes. en-us Thu, 25 May 2023 00:00:00 +0530 Sat, 17 Aug 2024 22:53:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=456826 ITAT Bangalore dismissed the assessee's appeal regarding addition of interest income under mercantile accounting principles. The tribunal held that despite board resolution not recognizing interest income on loans advanced, the assessee must record accrued interest as per loan agreements under Section 145 and AS-9. The AO correctly computed income under mercantile system. However, regarding Section 69C addition for unexplained expenditure to SREI Infrastructure Ltd., the tribunal remitted the matter to AO for fresh consideration, directing the assessee to establish the expenditure was wholly and exclusively for business purposes. Case-Laws Income Tax Thu, 25 May 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=456826