1968 (7) TMI 2

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....ations with a bank for securing overdraft facilities for the purpose of its business and in that connection had to incur an expenditure of Rs. 35,800. The amount so spent was claimed by the appellant-company as a permissible deduction in proceedings for assessment of income-tax for the year 1952-53. The departmental authorities rejected the claim for allowance of the amount and the Tribunal confir....

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....ourt the act of borrowing money was incidental to the carrying on of business, the loan obtained was not an asset or an advantage of enduring nature, the expenditure was made for securing the use of money for a certain period, and it was irrelevant to consider the object with which the loan was obtained. In the present case, the Tribunal has not recorded any finding as to the extent of the over....