https://www.taxtmi.com/caselaws?id=234334 Interest earned on conditional grant and contribution funds kept in escrow accounts and fixed deposits was treated as part of the project funds and not as income in the assessee's hands. The governing approval restricted use of the amounts to the sanctioned infrastructure project, required any interest on the released grant to fall within the grant limit, and left the assessee without unrestricted dominion over either principal or interest. On those facts, the interest was held not exigible to tax in the assessee's hands, and the addition was deleted. en-us Fri, 15 Feb 2013 00:00:00 +0530 Fri, 07 Jun 2013 10:11:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=234334 Interest earned on conditional grant and contribution funds kept in escrow accounts and fixed deposits was treated as part of the project funds and not as income in the assessee's hands. The governing approval restricted use of the amounts to the sanctioned infrastructure project, required any interest on the released grant to fall within the grant limit, and left the assessee without unrestricted dominion over either principal or interest. On those facts, the interest was held not exigible to tax in the assessee's hands, and the addition was deleted. Case-Laws Income Tax Fri, 15 Feb 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=234334