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2011 (8) TMI 446 - HC - Income TaxDeduction of interest under Section 36(1)(iii) - Interest given on the loan for investment made in shares of company related to business. - Held that:- Probably to carry on the business of the company, technical service is required which is provided by the assessee. In addition to that to have control over the company they have also invested money in acquiring shares to the extent of 25.1%. Therefore, the material on record clearly establishes the intention on the part of the assessee to carry on the business after acquiring shares and therefore as the said business to be carried is the business of the assessee and the amount is borrowed for the purpose of the said business, the amount of interest paid in respect of the capital borrowed is eligible for deduction under Section 36(1)(iii) of the Act
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