This is premium content. Please become a Premium member. If you are already a member, login here to access the full content.
Interest Paid = Deductible When Obligation Exists – ITAT Allows Claim on Capital Bond Arrangement
Case Law Details
- Case Name
- Hutchinson & Co. (India) Pvt. Ltd. Vs ITO (ITAT Bangalore)
- Appeal Number
- Only available for paid members
- Date of Judgement/Order
- Only available for paid members
- Related Assessment Year
- 1997-98
- Courts
- All ITAT, ITAT Bangalore
Upgrade to Basic or Premium to download.
Already Upgraded? Log in.
Advertisement
Hutchinson & Co. (India) Pvt. Ltd. Vs ITO (ITAT Bangalore)
Interest Paid = Deductible When Obligation Exists – ITAT Allows Claim on Capital Bond Arrangement
In Hutchinson & Co. (India) Pvt. Ltd., the Bangalore ITAT dealt with allowability of interest paid to Prestige Holiday Resorts Co. Ltd. under a capital bond arrangement, after the matter was remanded by the Karnataka High Court.
The Revenue had disallowed the claim on the ground that:
There was no obligation to pay interest, and
Hence, the payment was not incurred wholly and exclusively for business.
However, o...
Author Info
