Finance costs having direct nexus with business is allowable as deduction u/s 36(1)(iii)

DAM Capital Advisors Limited Vs DCIT (ITAT Mumbai) ITAT Mumbai held that the finance costs having direct nexus with the business should be allowed as a deduction under section 36(1)(iii) of the Income Tax Act. Facts- The assessee is a company engaged in the business of share broking and is a member of Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). The activities of the assessee include providing equity research and stock broking services to institutional clients. The assessee filed the return of income for A.Y. 2012-13 on 29/11/2012 declaring a loss of Rs.2,14,399/-. The case ...