https://www.taxtmi.com/caselaws?id=62504 The Tribunal upheld the CIT(A)'s decision regarding the treatment of interest income, ruling that interest earned on deposits directly linked to acquiring plant and machinery is a capital receipt and not taxable, while interest from other deposits is taxable as income from other sources. Bidding fees received by the assessee are to be capitalized. The decision aligns with Supreme Court precedents, distinguishing between capital receipts and income from other sources based on the connection to asset acquisition, ensuring interest income from business compulsion is treated as capital receipt. en-us Tue, 31 Aug 2004 00:00:00 +0530 Thu, 20 Jan 2011 11:23:25 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=62504 The Tribunal upheld the CIT(A)'s decision regarding the treatment of interest income, ruling that interest earned on deposits directly linked to acquiring plant and machinery is a capital receipt and not taxable, while interest from other deposits is taxable as income from other sources. Bidding fees received by the assessee are to be capitalized. The decision aligns with Supreme Court precedents, distinguishing between capital receipts and income from other sources based on the connection to asset acquisition, ensuring interest income from business compulsion is treated as capital receipt. Case-Laws Income Tax Tue, 31 Aug 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=62504