Interest on capital is

interest on capital is expense partnership firm ???
Replies (8)
Quick Summary
This discussion explores whether interest on capital for a partnership firm is considered an expense or an appropriation of profit. Participants debate its deductibility for income tax purposes, with differing views on its classification.

Yes it's deductable expense
But interset on capital is appropriation of profit!
Deduction for income tax purposes
Reserve is also expense??
No....
Interest on capital is not appropriation of profit.
Yes it is not appropriation of profit
Why ???

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