Interest on loan to bring into Existence a Showroom is Revenue Expenditure

CIT Vs. M/s. Joy Alukkas Traders (India) Pvt. Ltd. (Kerala High Court) The revenue is in appeal against the order passed by the Income Tax Appellate Tribunal in ITA No. 6 of 2013 concerning the assessment year 2007- 2008 whereby the Tribunal has set aside the addition made on account of dis allowance of notional interest. The question of law framed in this appeal for the consideration of this Court reads thus: Whether on the facts and in the circumstances of the case the interest paid on money borrowed to bring into existence a show room (according to the revenue an income earning apparatus) i...