Held that the interest free funds available is a sufficient ground to provide interest free loans to subsidiary company. Order of CIT(A) deleting the disallowance was affirmed. (AY. 2012-13)
Dy. CIT v. Jagson International Ltd. (2022) 97 ITR 176 (Delhi) (Trib) United Spirits Ltd v. Dy.CIT (2022) 97 ITR 272 (Bang) (Trib)
S. 36(1)(iii): Interest on borrowed capital-Interest free funds-Interest free loans to subsidiary-Deletion of addition is justified.