Section 36(1)(iii) of the Income Tax Act, 1961– Business Expenditure – Interest on borrowed capital – Once it was shown that the borrowing was for business purpose, the interest paid on such borrowing would be an allowable deduction. What is germane is whether the borrowing was for the purpose of the business and the legislature makes no distinction in section 36(1)(iii)between capital borrowed for revenue purpose and capital borrowed for capital purpose and what section 36(1)(iii) emphasizes is use of the capital and not the asset which comes into existence as a result of the borrowed capital – Commissioner of Income Tax vs. Zuari Industries ltd. (2019) 420 ITR 323 (Bombay)