CA. Animesh Kumar Jain (ACA DISA (ICAI) B.Com) (226 Points)
02 February 2012
FRIENDS THERE IS AN ASSESSEE WHICH HAS INCOME FROM INTEREST ON UNSECURED LOANS AND THERE ALSO EXPENSES OF INTEREST ON UNSECURED LOANS TAKEN,,,,,
WILL INCOME OF INTEREST COMPANSATE WITH INTEREST EXPENSES.....
ALSO THE ASSESSEE IS A PARTNER IN A FIRM FROM WHICH HE RECIEVED REMUNERATION, SHARE IN PROFIT AND INTEREST ON CAPITAL.....
PLEASE SHOW HOW INCOME BE TREATED.....?
Giridhar S Karandikar
(Team Lead)
(7548 Points)
Replied 02 February 2012
He will not receive any benefit of teh expenses incurred on the interest icome.
Remuneration 7 interest on capital recd by the partner will be taxable as Income from business in the hands of teh partner. The share of profit recd by teh partner from the firm will be exempt u/s 10(3A) of teh I-T act & he will be not required to pay any tax on it. however in his retur he will be required to disclose this exempted income.
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