Interest Expense Disallowance u/s 36(1)(iii) Needs Proof of Direct Link Between Investment and Borrowed Funds.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Disallowance of interest expenditure u/s 36(1)(iii) - Unless the department establishes a nexus between investment made and the borrowal of funds, no disallowance of interest expenditure on presumptive basis can be made. - AT....