ITAT upholds Deletion of Addition towards Disallowance of Interest on Borrowed Capital u/s.36(1)(iii) out of Commercial Expediency [Read Order]

ITAT - Deletion - Addition - Disallowance - Interest - ITAT upholds Deletion of Addition towards Disallowance of Interest Capital

The Chennai Bench of Income Tax Appellate Tribunal (ITAT) has upheld the deletion of addition towards disallowance of interest on borrowed capital under Section 36(1)(iii) of Income Tax Act, 1961 out of commercial expediency. This disallowance stem from the observation of AO that the assessee, Agni Estates & Foundations Pvt. Ltd advanced interest free funds…

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