13 September 2011
hello sir whether interest on loan borrowed by a partner from a outsider for the purpose of partnership firm is allowed as deduction from the individual income of the partner or not?? in books of accounts it is added to the partner capital and interest is given @12%p.a but partner has borrowed the same from the outsider @36%p.a .now whether the balance of interest(24%) is allowed as deduction from his individual income??
CAclubindia
