https://www.taxtmi.com/caselaws?id=464012 ITAT allowed the appeal, holding that interest paid on funds invested as capital in a partnership at 9% per annum was deductible because the advances were made for business expediency, so no disallowance of interest was warranted. The bench also held that s.14A read with Rule 8D did not justify disallowance since the assessee had not claimed any expenditure against exempt income (partnership profit share or dividends) and the interest was incurred for business purposes. Accordingly, the AO's disallowances were set aside. en-us Wed, 22 Dec 2021 00:00:00 +0530 Thu, 25 Sep 2025 15:20:37 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=464012 ITAT allowed the appeal, holding that interest paid on funds invested as capital in a partnership at 9% per annum was deductible because the advances were made for business expediency, so no disallowance of interest was warranted. The bench also held that s.14A read with Rule 8D did not justify disallowance since the assessee had not claimed any expenditure against exempt income (partnership profit share or dividends) and the interest was incurred for business purposes. Accordingly, the AO's disallowances were set aside. Case-Laws Income Tax Wed, 22 Dec 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=464012