https://www.taxtmi.com/caselaws?id=467477 Whether interest on funds borrowed and used as advances to acquire development rights by a real estate developer is deductible as business expenditure under Section 36(1)(iii) was decided by applying the proviso barring deduction only where money is borrowed for acquiring a capital asset until put to use; the tribunal applied a Coordinate Bench precedent holding such advances form part of the development business and that proportionate interest is deductible as an ordinary business expenditure, displacing an assessment-stage disallowance under Section 24(b), and allowing the assessee's appeal. en-us Wed, 06 Apr 2022 00:00:00 +0530 Fri, 20 Mar 2026 10:23:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=467477 Whether interest on funds borrowed and used as advances to acquire development rights by a real estate developer is deductible as business expenditure under Section 36(1)(iii) was decided by applying the proviso barring deduction only where money is borrowed for acquiring a capital asset until put to use; the tribunal applied a Coordinate Bench precedent holding such advances form part of the development business and that proportionate interest is deductible as an ordinary business expenditure, displacing an assessment-stage disallowance under Section 24(b), and allowing the assessee's appeal. Case-Laws Income Tax Wed, 06 Apr 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=467477