Tribunal held that according to the proviso to section 36(1)(iii) inserted by the Finance Act, 2003 with effect from April 1, 2004, till the asset for which the loan was borrowed was put to use, interest was not allowable. ( AY.2013-14, 2014-15)
Dy. CIT v. Coffee Day Global Ltd. (2020) 79 ITR 322 (Bang) (Trib)
S.36(1)(iii: Interest on borrowed capital — Till asset for which loan borrowed is put to use, interest not allowable [ S.37(1) ]