https://www.taxtmi.com/caselaws?id=37995 Interest credited from partners' debit balances and carried to the firm's interest and profit and loss accounts constituted real commercial income of the firm and was taxable as such. In computing the partners' shares of firm profits, no deduction was allowable for interest adjusted on those debit balances because the statute permitted deduction only in the limited case of interest paid on capital borrowed for investment in the firm, and no corresponding provision covered interest paid to the firm. The interest component therefore remained included in the partners' profit shares, against the assessee. en-us Wed, 29 Mar 1978 00:00:00 +0530 Fri, 02 Apr 2010 14:29:50 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=37995 Interest credited from partners' debit balances and carried to the firm's interest and profit and loss accounts constituted real commercial income of the firm and was taxable as such. In computing the partners' shares of firm profits, no deduction was allowable for interest adjusted on those debit balances because the statute permitted deduction only in the limited case of interest paid on capital borrowed for investment in the firm, and no corresponding provision covered interest paid to the firm. The interest component therefore remained included in the partners' profit shares, against the assessee. Case-Laws Income Tax Wed, 29 Mar 1978 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=37995