https://www.taxtmi.com/caselaws?id=471436 Interest on borrowed funds is deductible only to the extent the funds are used for the assessee's business. Interest attributable to funds deployed for acquiring shares through an intermediary qualifies for deduction. Funds retained by a sister concern without any return, enforceable arrangement, or stipulated period for acquiring shares are not treated as used for the assessee's business. Accordingly, interest attributable to the unutilised amount retained by the sister concern is not deductible, while interest linked to the share-acquisition funds remains allowable. en-us Mon, 01 Mar 2010 00:00:00 +0530 Wed, 02 Sep 2026 14:36:02 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=471436 Interest on borrowed funds is deductible only to the extent the funds are used for the assessee's business. Interest attributable to funds deployed for acquiring shares through an intermediary qualifies for deduction. Funds retained by a sister concern without any return, enforceable arrangement, or stipulated period for acquiring shares are not treated as used for the assessee's business. Accordingly, interest attributable to the unutilised amount retained by the sister concern is not deductible, while interest linked to the share-acquisition funds remains allowable. Case-Laws Income Tax Mon, 01 Mar 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=471436