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2003 (7) TMI 21 - HC - Income TaxWhether the Tribunal was justified in allowing the interest as revenue expenditure, on the funds borrowed? - case of the respondent-assessee is that the interest paid on the capital borrowed for expansion of business is allowable under section 36(1)(iii). – Revenue contend that as the assets were not put in use, the amount of interest cannot be allowed as revenue expenditure - proviso, inserted to clause (iii) of sub-section (1) of section 36, w.e.f. April 1, 2004 - Assessee submits that the aforesaid proviso has no application in the present case, as it has been made effective from April 1, 2OO4. The year under consideration in the case in hand is the assessment year 1991-92, therefore, the aforesaid amendment has no application - the view taken by the Tribunal is upheld
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