Interest free loan

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..... can interest free loan be added u/s 56[2][v] ? as any sum recd? - Reply By dkkothari - The Reply = Any amount received as a loan is not a sum of money received without consideration. There is cons .....

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..... ideration by way of undertaking or promise for repayment of loan on demand or after some time. Thus any loan whether with interest or without interest cannot be considered as income u/s 56 (2) (v) . .....

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..... Loan is also a capital receipt and capital receipts cannot be brought to tax in view of purpsoes of the I.T.Act and also the authority under constitution of India, which only permit tax on incom. It .....

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..... is advisable to make a promissary note or Bill of Exchange or post dated cheque can be given at the time of receipt of loan to make the matter beyound doubt. - Interest free loan - Query Started By .....

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..... : - cabhupendrashah Dated:- 21-8-2008 Income Tax - Got 1 Reply - Income Tax - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindi .....

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..... a - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax .....

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