1994 (4) TMI 59 - HC - Income Tax

Summary

The High Court of Madras ruled that borrowed capital cannot be included as part of the capital base for claiming relief under section 80J of the Income-tax Act. The decision favored the Revenue, overturning the Tribunal's ruling in favor of the assessee. The Supreme Court's decision in Lohia Machines Ltd. v. Union of India was cited to support this conclusion.