Interest Tax Act-Clarification with respect to taxability of interest from debentures.

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....ax under the present provisions of the Act. Such interest was not subject to interest-tax under the earlier version of the act. 2. The latest version of the Act covers larger tax base than the earlier one as the definition of 'interest' now, is wider in scope. Section 2(7) of the interest-tax Act now defines 'interest' as under: '(7) "interest" means interest on loans and advances made in India ....