Commissioner Of Income-Tax vs Mohanlal Bhagwati Prosad on 26 November, 1991
29. The Gauhati High Court in the case of CIT v. Jain Hardware Stores [1990] 186 ITR 272, agreeing with the Gujarat, Bombay and Madhya Pradesh High Courts held that, where the karta of a Hindu undivided family was a partner in a firm in his representative capacity, interest paid by the firm to him on his individual investment could not be disallowed under Section 40(b).