Shree Laxmi Estate (P. ) Ltd. v. ITO (2019) 178 ITD 98/(2020) 204 TTJ 351 (Mum.)(Trib.)

S. 36(1)(iii) : Interest on borrowed capital-Borrowings were utilized for purpose of construction business-No disallowances can be made.

Allowing the appeal of the assessee the Tribunal held that borrowed amounts were utilised for purpose of construction business, hence disallowance is held to be not valid.     (AY 2013 – 2014)