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2013 (12) TMI 1422 - PUNJAB & HARYANA HIGH COURTValidity of assessment u/s 147 - Held that:- Chart of computation of income was furnished along with the return, share of the assessee was mentioned as 20% in the rental income, whereas during scrutiny of the cases, it was found that the assessee had not disclosed her income truly in the income tax return - When pursuant to notice under section 148 of the Act, the assessee had furnished the return, income was declared disclosing 25% share in the income of the property - It was thus clearly a case of escape of income from the assessment - It was not at all a case of 'change of opinion' but was a clear case of 'escapement of income from assessment' - Decided against assessee. Whether simple interest or compound interest charged by the bank on the amount borrowed by the assessee be allowed - Held that:- As per section 24(1)(vi) of the Act - Amount of interest payable on capital borrowed, for construction of the property yielding income, is an admissible deduction - Only interest payable on such borrowed capital is to be deducted while computing income chargeable to income tax under the head 'income from house property” - Interest paid on interest levied by the bank, because of non-payment of instalments of borrowed capital to the bank, does not qualify for an admissible deduction - Decided against assessee.
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