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2019 (5) TMI 316 - AT - Income TaxAddition of interest on advances given to the sister concern - calculation of notional interest taking rate of interest at 6% on the advance given to the sister concern - HELD THAT:- Assessee has interest free fund of ₹ 3,22,11,819/- out of which it could be construed that the assessee must have given advance without charging interest. Since interest free funds are more than the interest free advance given by the assessee, therefore, there should not be any interest expenditure require to be disallowed from the claim of the assessee. As fortified by the decision of Cit Vs. Reliance Utilities and Powers Ltd., [2009 (1) TMI 4 - BOMBAY HIGH COURT] allow the appeal of the assessee and delete disallowance.
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