Foreign Exchange Loss Disallowance Requires Asset Cost Adjustment for ECB Loans Used in India Due to Currency Fluctuation.

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....Disallowance of Forex loss pertaining to reinstatement of outstanding balance of External Commercial Borrowing (ECB) loan - the necessary adjustments should be made to the actual cost of assets on account of loss consequent to foreign currency fluctuation rate as there is no dispute that ECB loans are utilized for the purpose of acquisition of asset in India. - AT....