Pramod Bhansali (CA-Final & CS-Final Student & Textile Business) (193 Points)
22 February 2019Mr. A has a Proprietary Business. He taken a term loan from a bank in his Individual Saving A/c and Used whole amount is his Business.
Question is : Whether Interest paid on such loan can be adjusted in Total Income or Not??
Gautam Rajendran
(Finance & Accounts)
(69 Points)
Replied 22 February 2019
Pramod,
NO, It can be adjusted on you proprietary business income with some condition.
But there is no such provision of adjusting loan interest with total income.
CA Inderjeet Sunda
(Chartered Accountant)
(355 Points)
Replied 22 February 2019
What is nature of Loan ? Personal or else.
Pramod Bhansali
(CA-Final & CS-Final Student & Textile Business)
(193 Points)
Replied 22 February 2019
It is loan against property taken for business only.
CA Inderjeet Sunda
(Chartered Accountant)
(355 Points)
Replied 22 February 2019
No. Interest on Such Loan is not adjustable. If Loan is nature of Housing Loan then Deduction of Interest on Housing Loan is allowable.
Seema Chauhan
(2 Points)
Replied 22 February 2019
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