Suppose a partnership company has 3 partners. The company wants to buy a property but in firm's bank account they don't have enough amount to buy the property. Then one of the partners decided to lend a interest free loan of say 50 lakhs to the company (to buy the property ofcourse). Company agrees to return the loan to the partner when time favors.
The company wants to file return under 44 AD. Does that loan from one partner count as INCOME to the firm or does it classify as pure LOAN?
Answer from a knowledgable person would be really appreciated.
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