Disallowance on interest expenditure under the Income Tax Act by AO

Last updated: 07 July 2021
Quick Summary
The Income Tax Appellate Tribunal is reviewing a case where the Assessing Officer (AO) disallowed over £54,000 in interest expenditure. The AO believed the company had used interest-bearing funds to make investments and provide interest-free loans, disallowing the claimed interest. The company argued that its own funds exceeded the investment and loan amounts, suggesting these were used instead of borrowed funds.

Court :
ITAT Bangalore

Brief :
The Assessee has filed this appeal challenging the order dated 16.7.2019 passed by Ld. CIT(A)-7, Bengaluru and it relates to the assessment year 2015-16. The assessee is aggrieved w

Citation :
ITA No.2032/Bang/2019

Daily Limit Reached

You have reached your daily limit of 2 Free Judgements

Subscribe to CCI PRO for unlimited access

Why Upgrade to CCI PRO?
  • No Ads
  • WhatsApp Community
  • Daily E-Newsletter
  • Unlimited Judgements Access
  • Profile Visitors
  • Link Social Profiles
  • Featured Job Posts
  • Pro Badge
  • Expert GST Guidance
  • Unlimited Forum Replies
  • Download Content in PDF
BEST VALUE
2 YEAR PLAN
3,499
(Excl. of GST ₹629)
1 YEAR PLAN
1,999
(Excl. of GST ₹359)

3 MONTHS PLAN
999
(Excl of GST ₹179)
View all CCI PRO benfits

Already a PRO member? Login here for an ad-free experience.

 
Comments


Recent Judgments :

  1. No pre-deposit required for filing appeal before the GSTAT against penalty-only orders where proceedings commenced prior to October 01 2025
  2. Refund cannot be withheld under Section 54(11) of the CGST Act merely because the Revenue contemplates filing an appeal
  3. Scope of Rectification under Section 161 of the CGST Act is Confined to Errors Apparent on the Face of Record
  4. Appellate Authority has no power to condone delay in filing appeal beyond the outer limit prescribed under Section 107(4) of the CGST Act
  5. CESTAT New Delhi: Sub-Contractor Separately Liable for Service Tax Regardless of Main Contractor's Discharge
  6. Cenvat Credit Cannot Be Denied Merely on Third-Party Statements Without Corroborative Evidence
  7. CESTAT: Service Tax Not Leviable on Unclaimed Amounts Written Off Without Evidence of Taxable Service
  8. Partners of a Partnership Firm are personally liable for GST dues of the Firm and bank account of an erstwhile partner can be attached for recovery
  9. Prima facie satisfaction and not conclusive proof of fraud is sufficient to invoke Section 74 of the CGST Act
  10. Show Cause Notice issued to a non-existent amalgamated company is void ab initio and cannot be saved by Section 87 of the CGST Act

View More Judgments »


Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Pro Member Kalyan GuhaKalyan GuhaPro Member Vasudevan SanthanamVasudevan SanthanamPro Member Sanjeev Kumar ManchandaSanjeev Kumar ManchandaPro Member svgovindarajusvgovindarajuPro Member GIRIDHARGIRIDHAR
Subscribe to Pro
Join an elite circle of professionals

Browse by Category




Latest Job Openings

View all
Company
ARTICLESHIP 25 August 2026
CA Article's

Saini Pati Shah & Co LLP

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 26 August 2026
Article Assistant

ANIVESH CONSULTANTS LLP

Gurgaon

CA Inter

View Details
Company
ARTICLESHIP 01 September 2026
Article Assistant

SGNG & Associates

New Delhi

CA Inter

View Details
Company
19 August 2026
PAID ARTCILE ASSISTANT

My Legal Tax Consultants Pvt. Ltd.

Noida

CA Inter

View Details
Company
28 August 2026
Assistant Manager

NRS AND ASSOCIATES

Kozhikode

CA Inter

View Details
Company
ARTICLESHIP 29 August 2026
Article Assistant

RRPM & ASSOCIATES LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 14 August 2026
Article Assistant

N J Suresh & Associates

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 04 September 2026
Accounts Executive

Hema Yashwanth & Associates

Chennai

B.Com

View Details