2016 (12) TMI 1831

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..... irected against the order of the Commissioner of Income-tax(Appeals)-2, Chennai dated 31.03.2016. 2. The only issue in this appeal is with regard to disallowance of interest paid on loans. The assessee claimed interest amount of Rs.7,36,579/- on accrual basis. The said interest was accrued on the loans borrowed in earlier years and there is no actual payment of this interest to the parties. The A .....

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..... nnot be allowed as deduction as income earned from firm is not feasible while computing the income of the assessee. This view is fortified by the judgment of the Kerala High Court in the case of CIT Vs. Popular Vehicles and Services Ltd., in [2010] 325 ITR 523(Ker.) It is to be noted that in earlier assessment years, there was no assessment u/s.143(3) and the return was accepted only u/s.143(1) o .....

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