TMI BlogClaim of interest expenditure - Nexus between investments and borrowed funds - A clear and direct nexus...Claim of interest expenditure - Nexus between investments and borrowed funds - A clear and direct nexus has to be established between the loan funds and the investments before a disallowance u/s. 56(1)(iii) of the Act is made. If there is a direct nexus between the loan funds and such investments, then the proposition that if the assessee had surplus funds with it, then the investment would be presumed to have been made from such surplus funds would not hold good and then the disallowance u/s. 3..... ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
