1981 (10) TMI 75 - AT - Income Tax

Summary

The appeal was made by the assessee against the Commissioner (Appeals) order regarding the addition of Rs. 6,120 as interest disallowance for the assessment year 1976-77. The ITAT Chandigarh found no justification for the addition as there was no fresh borrowing by the assessee during the year, and the Revenue failed to establish a direct link between the borrowing and any advance without interest. Therefore, the addition was deleted, and the appeal was allowed.