Addition of interest attributable on the diversion of loan fund ...

Case Laws Income Tax

January 11, 2023

Addition of interest attributable on the diversion of loan fund - Once own fund of the assessee exceeds the amount of interest free loans and advances, then a presumption can be drawn that the interest free loans and advances has been given by the assessee out of its own interest free fund available with it. Thus, in such a situation the disallowance of interest u/s 36(1)(iii) is not warranted. - AT

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Addition of interest attributable on the diversion of loan fund ...

Case Laws Income Tax

January 11, 2023

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