What does it mean

Maybe your paying dividends. check that out

Means we are deducting the expense which doesn't occur

How can you deduct interest if there is no loan in balance sheet!!!
I don't know but, help you with below case-
if interest is not paid but passed in the books of accounts then it is disallowed in the tax computation...
if same interest is paid, then amount which is disallowed earlier is allowed as an expense...