Tax implications

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

08 August 2013 I like to know the tax implication regarding interest charged by the bank against overdraft to be taken by me against 3yrs fixed deposit jointly in the name of my father & mother ( senior citizen ) & me also. The interest from the Bank is receivable in the name of the 1st holder that is my father. Now I want to take an overdraft from the Bank and deposit the same as further capital introduction in my Partnership business which will yield an interest of 12% per yr.on the fresh capital. The interest accrued from the fresh capital introduced will be under the taxable income of my individual I T file but will the taxable income be reduced by the interest charged by the bank against the Overdraft in my I. T. File ? Further more my Father & Mother are not the partners of our Partnership firm. Please Advise.