https://www.taxtmi.com/caselaws?id=764212 The ITAT Kolkata ruled in favor of the assessee regarding addition of notional interest on interest-free advances. The tribunal held that no justification existed for adding notional interest when the assessee had sufficient interest-free funds for business advances. Citing SC precedent, the tribunal emphasized that only real accrued income can be assessed, not presumed income without evidence. The revenue authorities failed to prove interest was payable by debtors, and the assessee provided confirmations for 69.56% of advances by value. The addition was deleted. en-us Fri, 29 Nov 2024 00:00:00 +0530 Sat, 04 Jan 2025 12:48:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=764212 The ITAT Kolkata ruled in favor of the assessee regarding addition of notional interest on interest-free advances. The tribunal held that no justification existed for adding notional interest when the assessee had sufficient interest-free funds for business advances. Citing SC precedent, the tribunal emphasized that only real accrued income can be assessed, not presumed income without evidence. The revenue authorities failed to prove interest was payable by debtors, and the assessee provided confirmations for 69.56% of advances by value. The addition was deleted. Case-Laws Income Tax Fri, 29 Nov 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=764212