1983 (2) TMI 106 - AT - Income Tax

Summary

The appeal was about the disallowance of interest amounting to Rs. 2,815 paid by an HUF to a firm where the Karta of the HUF was a partner. The interest disallowance was challenged under section 80V, which was initially not raised but later allowed by the ITAT Delhi-C. The Tribunal held that the interest was allowable under section 80V as it was essentially a borrowal from the firm for tax payments. The appeal was allowed.