Interest on Borrowed Capital Forms Part of Cost of Acquisition: ITAT Chennai

S. Rajasekaran Vs DCIT (ITAT Chennai) Interest on Borrowed Capital Forms Part of Cost of Acquisition: ITAT Chennai Allows Capitalised Interest, Remands Farmers’ Payments for Verification The Chennai Bench of the ITAT partly allowed the assessee’s appeal for AY 2023-24 in a capital gains dispute arising from sale of immovable properties. The assessee had claimed deduction of ₹7.67 crore (indexed) towards interest capitalised on loans borrowed for acquiring the properties and ₹1.16 crore (indexed ₹1.73 crore) towards payments made to farmers and agreement holders for securing clear tit...