The Tribunal held that since the assessee capitalised interest on debentures/compulsorily convertible debentures in its work-in-progress for the assessment 2013-14, when the work-in-progress was reversed in the subsequent years at the time of sale of flats/plots, the corresponding amount of excess interest on debentures/compulsorily convertible debentures, over and above its arm’s length price, needed to be reversed and added back to the income of that year. Therefore, the amount of capitalised interest on debentures/compulsorily convertible debentures to the work-in-progress for the AY 2013-14, as was in excess of its arm’s length price freshly determined by the Assessing Officer/Transfer Pricing Officer, was to be disallowed proportionately in the years in which the work-in-progress containing the amount of such interest standing as on March 31, 2013, was reversed on the sale of flats/plots. (AY. 2015-16)