Limitation on interest deduction in certain cases.

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....ot be deductible in computation of income chargeable under the head "Profits and gains of business or profession", if,- (a) it is paid or payable by an Indian company or a permanent establishment of a foreign company in India, in respect of any debt issued by an associated enterprise which is a non-resident; and (b) the sum of such expenditure in a tax year exceeds one crore rupees. (2) Where....

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....of non-banking financial companies as notified by the Central Government in this behalf. (4) In sub-section (1), the "excess interest" means-- (a) In total interest paid or payable in excess of 30% of earnings before interest, taxes, depreciation and amortisation of the borrower in the tax year; or (b) interest paid or payable to associated enterprises for that tax year, whichever is less. ....

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....se to interest, discounts or other finance charges that are deductible in the computation of income chargeable under the head "Profits and gains of business or profession"; (b) "Finance Company" means a finance company as defined in regulation 2(1)(e) of the International Financial Services Centres Authority (Finance Company) Regulations, 2021 made under the International Financial Services Cent....