Dismissing the appeal of the revenue the Tribunal held that interest paid on borrowed funds by assessee which were used for acquisition of land which was an inventory was allowable. (AY. 2013-14, 2014-15)
DCIT v. Cornerstone Property Investment (P.) Ltd. (2020) 185 ITD 202 (Bang.)(Trib.)
S. 36(1)(iii) : Interest on borrowed capital-Used for acquisition of land which is part of inventory-Allowable as deduction.