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2015 (12) TMI 195 - AT - Income TaxDisallowance of claim of expenditure of premium paid on SLR investments - Held that:- We are of the view that amortization of premium is allowable in accounting practice. As per RBI’s guidelines, amortization of premium in case of assets treated as HTM (Held to Maturity) (Investments) is to be amortized divided equally over the period which is remaining for their maturity. Same has been done by assessee. Amortization of expenses has been recognized in similar circumstances in case of premium of debentures, which was also held as investments in different judgements including that of Hon’ble Supreme Court in case of Madras Industrial Investment Corp.Ltd. Vs. CIT(A) (1997 (4) TMI 5 - SUPREME Court ) - Decided in favour of assessee.
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