Interest which is not received on debits cannot be disallowed

Sunil & Company Vs ACIT (ITAT Jodhpur) ITAT Jodhpur held that disallowance of interest which is not at all received by the assessee is unsustainable and accordingly, the disallowance is vacated. Facts- Assessment u/s. 143(3) was completed by disallowing purchases which were bogus; disallowance of interest u/s 36(1)(iii) of Rs. 16,33,869/- and disallowance of part of personal nature expenses. Against the above additions so made the appeal filed by the assessee before the CIT(A) against these additions. The said appeal was dismissed. Thereafter the assessee filed second appeal before the ITA...