HomeDirect TaxNo Interest Disallowance When Sufficient Interest-Free Funds Exist Despite Partners’ Drawings: ITAT

No Interest Disallowance When Sufficient Interest-Free Funds Exist Despite Partners’ Drawings: ITAT

Published on

🚀 Stay Connected With JurisHour

WhatsApp X Telegram

The Ahmedabad Bench of the Income Tax Appellate Tribunal (ITAT) has deleted an interest disallowance of Rs. 2.88 crore made under Section 36(1)(iii) of the Income Tax Act, 1961, holding that no diversion of borrowed funds can be alleged merely because partners made drawings, when the assessee possessed ample interest-free funds. The bench of Sanjay…

Membership Required

You must be a member to access this content.

View Membership Levels

Already a member? Log in here
Mariya Paliwala
Mariya Paliwalahttps://www.jurishour.in/
Mariya is the Senior Editor at Juris Hour. She has 7+ years of experience on covering tax litigation stories from the Supreme Court, High Courts and various tribunals including CESTAT, ITAT, NCLAT, NCLT, etc. Mariya graduated from MLSU Law College, Udaipur (Raj.) with B.A.LL.B. and also holds an LL.M. She started her career as a freelance tax reporter in the leading online legal news companies.

Latest articles

40% GST On Non-Alcoholic Beverages, 5% GST On Iced Tea Preparation: AAR

The West Bengal Authority for Advance Ruling (WBAAR) has held that 40% GST is...

Security Services Provided To FCI Are Not Exempt From GST: AAR

The West Bengal Authority for Advance Ruling (WBAAR) has held that security services provided...

GST Exemption Allowed on Segregated Waste Transportation Services Provided to Howrah Municipal Corporation: AAR

The West Bengal Authority of Advance Ruling (AAR) has ruled that GST Exemption is...

40% GST on Tobacco Hookah; 18% on Non-Tobacco Variant: AAR

The West Bengal Authority of Advance Ruling (AAR) has held that 40% goods and...

More like this

40% GST On Non-Alcoholic Beverages, 5% GST On Iced Tea Preparation: AAR

The West Bengal Authority for Advance Ruling (WBAAR) has held that 40% GST is...

Security Services Provided To FCI Are Not Exempt From GST: AAR

The West Bengal Authority for Advance Ruling (WBAAR) has held that security services provided...

GST Exemption Allowed on Segregated Waste Transportation Services Provided to Howrah Municipal Corporation: AAR

The West Bengal Authority of Advance Ruling (AAR) has ruled that GST Exemption is...