https://www.taxtmi.com/caselaws?id=119467 Section 44 and the First Schedule apply to life insurance business only after the business has actually commenced by issuing insurance policies; mere incorporation, registration, capital raising, or investment of funds is insufficient. On that basis, interest earned on bank deposits and approved securities was not business income but income from other sources, and only expenditure within section 57(iii) was deductible against that interest. A penalty under section 271(1)(c) was not warranted where the assessee made full disclosure and advanced a bona fide legal claim on the commencement issue; rejection of the quantum claim alone did not establish concealment or inaccurate particulars. en-us Thu, 10 May 2007 00:00:00 +0530 Wed, 11 Jul 2012 12:36:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=119467 Section 44 and the First Schedule apply to life insurance business only after the business has actually commenced by issuing insurance policies; mere incorporation, registration, capital raising, or investment of funds is insufficient. On that basis, interest earned on bank deposits and approved securities was not business income but income from other sources, and only expenditure within section 57(iii) was deductible against that interest. A penalty under section 271(1)(c) was not warranted where the assessee made full disclosure and advanced a bona fide legal claim on the commencement issue; rejection of the quantum claim alone did not establish concealment or inaccurate particulars. Case-Laws Income Tax Thu, 10 May 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=119467