https://www.taxtmi.com/caselaws?id=777950 ITAT, Ahmedabad allowed the appeal for statistical purposes and remitted the issue to the AO for fresh consideration, holding that proportionate deduction under s.57 for expenditure against interest income may be allowed only if the assessee establishes a direct nexus between the expense and earning of interest. The Tribunal emphasized the statutory requirement of connection between expenditure and interest income and found the prior factual matrix distinguishable from cases where rental income substantially exceeded interest; the AO is to reassess the claim in light of this criterion. en-us Tue, 02 Sep 2025 00:00:00 +0530 Mon, 08 Sep 2025 13:37:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=777950 ITAT, Ahmedabad allowed the appeal for statistical purposes and remitted the issue to the AO for fresh consideration, holding that proportionate deduction under s.57 for expenditure against interest income may be allowed only if the assessee establishes a direct nexus between the expense and earning of interest. The Tribunal emphasized the statutory requirement of connection between expenditure and interest income and found the prior factual matrix distinguishable from cases where rental income substantially exceeded interest; the AO is to reassess the claim in light of this criterion. Case-Laws Income Tax Tue, 02 Sep 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=777950