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Q. > Please Help: Interest on borrowed capital [Section 36 (1)(iii)]
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268 views • Question added Jan 24, 2015 • Income Tax • By Ishan Bhateja , CA , Chandigarh


if A pvt. ltd. having borrowed capital Rs 26 crores (Interest there on Rs 2.26 Crores) give interest free Loan (Rs 11 Crores) to his sister concern B Pvt. Ltd., Will the proportionate interest on loan given to B Pvt. Ltd. be disallowed u/s 36(1)(iii) ???

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