Interest on Loan
This query is : Resolved
02 August 2010
Dear Sir,
We have a partnership firm, and in the partnership firm the wife of the partner have invested in the firm
The question is whether interest paid to wife of the partner @ 15% is allowed or not.
Because in the hand on partner only 12% intt.is allowed.
Waiting for reply.
We have a partnership firm, and in the partnership firm the wife of the partner have invested in the firm
The question is whether interest paid to wife of the partner @ 15% is allowed or not.
Because in the hand on partner only 12% intt.is allowed.
Waiting for reply.
02 August 2010
Parntership regulations are only for the partners and not for the realtives of the partners.
Hence if the loan complies with the other conditions in the deed then a higher interest is allowable.
Hence if the loan complies with the other conditions in the deed then a higher interest is allowable.
02 August 2010
yES, IT CAN BE ALLOWED AS PER MARKET RATE.
BECAUSE IT WILL BE SHOWN IN TAX AUDIT REPORT, PAYMENT TO RELATIVE U/S 40A(2)
BECAUSE IT WILL BE SHOWN IN TAX AUDIT REPORT, PAYMENT TO RELATIVE U/S 40A(2)
02 August 2010
It is allowed. it depend on the market rate of interest as well as the agreement between the parties.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- Applicable TDS rate for sale of property in Nov 2024
- Inventory of finished goods
- Tds on building rent monthly
- RCM INVOICING FROM NOV-2024
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Sale of property furniture sale
- Confusion around Form 26QB fields
- Adjustment entry in the case of Individual and HUF on 31st March
- Stock difference tax applicable on composite rate or normal rate
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
Trending Online Classes
CAclubindia
