https://www.taxtmi.com/caselaws?id=789037 Exempt income from shares and bonds held as stock-in-trade did not justify a section 14A disallowance where the Assessing Officer had not recorded proper dissatisfaction and the assessee had sufficient interest-free funds. Interest expenditure was also held deductible because the borrowings were used for business and the capital and reserves exceeded the relevant investments, supporting the presumption that business funds were deployed. The Tribunal further treated the year-end diminution in the market value of stock-in-trade, valued on a lower of cost or market basis under regular accounting practice, as an allowable business loss rather than a contingent provision. en-us Wed, 25 Mar 2026 00:00:00 +0530 Thu, 02 Apr 2026 08:50:47 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=789037 Exempt income from shares and bonds held as stock-in-trade did not justify a section 14A disallowance where the Assessing Officer had not recorded proper dissatisfaction and the assessee had sufficient interest-free funds. Interest expenditure was also held deductible because the borrowings were used for business and the capital and reserves exceeded the relevant investments, supporting the presumption that business funds were deployed. The Tribunal further treated the year-end diminution in the market value of stock-in-trade, valued on a lower of cost or market basis under regular accounting practice, as an allowable business loss rather than a contingent provision. Case-Laws Income Tax Wed, 25 Mar 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=789037