2000 (2) TMI 25

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....n of interest under section 40(b)(iv) of the Income-tax Act, 1961 (in short "the Act"). The assessment year concerned is 1993-94 in both these cases. The petitioners in both these cases claim deduction of interest paid to the partners both in respect of the capital account and also the current account. The assessing authority disallowed the claim for deduction of interest in respect of the current....

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....r the payment of interest on current account also. He accordingly, submitted that the authorities were not justified in disallowing payment of interest on current account deposit. I have beard Sri George K. George, A. C. G. S. C. for taxes. He submitted that the petitioners did not satisfy the requirement of sub-clause (iv) of clause (b) of section 40 of the Act as the partnership deed did not ....