https://www.taxtmi.com/caselaws?id=774175 The Tribunal allowed the assessee's appeal and deleted the disallowance of interest expenditure of Rs. 3,11,520/- for AY 2016-17. The AO and CIT(A) had disallowed the interest claiming it related to non-business property investments. However, the Tribunal found through ledger analysis that the interest debited to the P&L account pertained exclusively to business credit facilities from Bank of Baroda for manufacturing and trading operations. The home loan interest from ICICI Bank for property acquisitions was separately accounted and not charged to the P&L account. The Tribunal held that disallowance requires clear evidence that claimed interest relates to non-business purposes charged to business accounts. en-us Fri, 06 Jun 2025 00:00:00 +0530 Fri, 04 Jul 2025 08:38:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=774175 The Tribunal allowed the assessee's appeal and deleted the disallowance of interest expenditure of Rs. 3,11,520/- for AY 2016-17. The AO and CIT(A) had disallowed the interest claiming it related to non-business property investments. However, the Tribunal found through ledger analysis that the interest debited to the P&L account pertained exclusively to business credit facilities from Bank of Baroda for manufacturing and trading operations. The home loan interest from ICICI Bank for property acquisitions was separately accounted and not charged to the P&L account. The Tribunal held that disallowance requires clear evidence that claimed interest relates to non-business purposes charged to business accounts. Case-Laws Income Tax Fri, 06 Jun 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=774175