Interest on Interest free loan given related to business cannot be disallowed expenditure
Last updated: 13 December 2011
Court :
Income Tax Appellate Tribunal
Brief :
. Brief ly stated facts of the case are that the assessee derives income from Hiring of Cranes to ONGC and other oi l refineries, management services to group companies, dividends and interest from investments and income from sale of investment and Trading in shares. It f iled return declaring loss of Rs.56,78,74,068/-. However, the assessment was completed under normal provisions of the Act at loss of Rs. 31,39,57,516/- and u/s 115JB at loss of Rs.54,13,66,418/- including the disal lowance of interest related to shares Rs.17,32,53,552/- and disal lowance of interest on interest free loans Rs.8,06,63,000/-.
Citation :
M/s. Essar Investments Limited,…………Appellant VS Deputy Commissioner of Income Tax,………..Appellant
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CS Bijoy
Published in Income Tax
Views : 1678
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