https://www.taxtmi.com/caselaws?id=797076 Interest-free or concessional advances made under a construction contract did not establish private benefit or diversion of charitable funds where no evidence showed that specified persons benefited, the contract was overpriced, or terms were not at arm's length. Section 40A(2)(a) did not apply because the interest expenditure was paid to unrelated banks, while the adjustment concerned interest not charged on advances; exemption under Sections 11 and 12 therefore remained available. Donations to registered charitable institutions and scholarships were valid application of charitable income when supported by documentary evidence and directed to charitable activities. The additions were deleted. en-us Fri, 07 Aug 2026 00:00:00 +0530 Mon, 17 Aug 2026 08:38:05 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=797076 Interest-free or concessional advances made under a construction contract did not establish private benefit or diversion of charitable funds where no evidence showed that specified persons benefited, the contract was overpriced, or terms were not at arm's length. Section 40A(2)(a) did not apply because the interest expenditure was paid to unrelated banks, while the adjustment concerned interest not charged on advances; exemption under Sections 11 and 12 therefore remained available. Donations to registered charitable institutions and scholarships were valid application of charitable income when supported by documentary evidence and directed to charitable activities. The additions were deleted. Case-Laws Income Tax Fri, 07 Aug 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=797076