Allowability of deduction
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
08 November 2011
Sir
A salaried person is earning interest income on loan given to various parties. He is also paying interest on loan taken from various parties.
Can he adjust the amount of interest paid with the interest income. (Under the head income from other sources). Whether it is allowed under Section 57 of Income Tax Act, 1961. Please Quote Case law if any.
If Interest paid is more than interest income, Can he set off the loss incurred under the head other sources from his salary income.
A salaried person is earning interest income on loan given to various parties. He is also paying interest on loan taken from various parties.
Can he adjust the amount of interest paid with the interest income. (Under the head income from other sources). Whether it is allowed under Section 57 of Income Tax Act, 1961. Please Quote Case law if any.
If Interest paid is more than interest income, Can he set off the loss incurred under the head other sources from his salary income.
08 November 2011
such business is to be catagorized as money lending business, which is not allowed in general. RBI has put certain restrictions on such transactions.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- CLOSING STOCK QUERY
- ITR-Capital Gain
- Rent claimed on building given on permissive possession basis
- TDS on rent received on hardship compensation being rent on redevelopment of building
- Traces submitting correction statement error
- Query regarding TDS on EPFO Higher Pension Arrears- under wrong section
- Query regarding Item 61/62/63 vs Item 64 in ITR-3
- TDS _Long term Capital Gain ref.sec 214 Table 2
- Loss of interest in PF transfer from EPFO to Trust
- IT returns for fresh job holders
- 44AD, 44ADA business details
- PF wage ceiling
- Concept of Vendor and customner reconciliation
- Mistake in e-invoice identified after 24 hours
- EXPORT PAYMENT
- NRI ITR2 account in 2025-26.
- Query regarding reporting of exempt foreign remuneration in ITR (AY 2026-27)
- FEMA/RBI treatment — Amazon.ca arbitrage (US buy, Canada sell, goods never enter India)
- Goods return by customer
- INWARD REMITTANCE FOREIGN
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
