https://www.taxtmi.com/caselaws?id=792217 Deduction of interest expenditure under section 57(iii) was denied because the expense must be incurred wholly and exclusively to earn the relevant income, with a direct and proximate nexus between the borrowing and the interest income. The record did not show that the borrowed funds were used only for earning interest income; instead, they were also deployed in shares and purchase of plots. In the absence of satisfactory documentary proof establishing the required nexus, the claim failed the statutory condition and the disallowance of the interest expenditure was upheld. en-us Fri, 22 May 2026 00:00:00 +0530 Mon, 25 May 2026 08:14:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=792217 Deduction of interest expenditure under section 57(iii) was denied because the expense must be incurred wholly and exclusively to earn the relevant income, with a direct and proximate nexus between the borrowing and the interest income. The record did not show that the borrowed funds were used only for earning interest income; instead, they were also deployed in shares and purchase of plots. In the absence of satisfactory documentary proof establishing the required nexus, the claim failed the statutory condition and the disallowance of the interest expenditure was upheld. Case-Laws Income Tax Fri, 22 May 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=792217