Discount on debentures issued for construction of house property allowable

Discount on deep discount debentures issued for construction of house property is allowable ITAT held that the proportionate discount on deep discount debentures issued for construction of house property is in the nature of interest as defined under Section 2(28A) of the Income-tax Act, 1961 (the Act). Therefore, such interest would be allowable as deduction under the provisions of Section 24(b) of the Act while computing income from house property.  The Tribunal relying on the Supreme Court’s decision in the case of   Madras Industrial Investment Corporation Ltd. v Commissioner of Income...