Interest on Capital u/s 40(b)

CA PARTH SHAH (In Practice) (1951 Points)

11 July 2011  

hello friends

 

my query is on which amt of capital of the partner does the interest is calculated?

  1. opening balance
  2. closing balance
  3. monthle basis

 

is there any provision under sec 40(b) which describes about the above query?