Section 36(1) override Section 145A- Interest allowable when Asset put to use

Mahindra World City Developers Ltd. Vs ACIT (Madras High Court) The issue under consideration is whether the Tribunal was right in law in holding that the interest expenditure is Capital in nature since assessee had in its books, included interest portion related to projects as its work in progress in its books, and claimed them as a deduction in income computation memo for the purposes of tax payments? High Court states that, the Proviso to Section 36(1) of the Act incorporated in Part D of Chapter IV of the Act providing for the “Method of Computation of Total Income”, quoted abo...