Please explain what is difference between these two lines
"interest paid by the firm to such individual otherwise than as a partner in a representative capacity"
And
"interest paid by the firm to such individual as partner in a representative capacity"
It can be explained with an example
XYZ is a HUF and Mr. X is karta of HUF
If interest is paid by the firm to Mr.X as a Representative of HUF than it is called "interest paid by the firm to such individual otherwise than as a partner in a representative capacity"
But if interest is paid to Mr.X on Personal Capacity than is is called "interest paid by the firm to such individual as partner in a representative capacity"
CAclubindia
