Section 43B of the Income Tax Act disallows certain deductions for unpaid statutory dues like interest,...

Section 43B of the Income Tax Act disallows certain deductions for unpaid statutory dues like interest, tax, duty, etc. The key points are: Unpaid interest on loans from World Bank or State Government is not covered u/s 43B clauses (d), (da), or (e) as these clauses are specific to interest payable to financial institutions, NBFCs, and banks. Explanation 4 to Section 43B clarifies the institutions covered, excluding World Bank and State Government. Therefore, disallowance of unpaid interest on World Bank loan is not justified u/s 43B. Regarding electricity duty collected from consumers, it is not a tax or duty levied on the assessee but part of the commercial transaction of electricity supply. Section 43B is not applicable as the duty is no..... .....

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