https://www.taxtmi.com/caselaws?id=9366 Interest earned by a co-operative bank on investments in permissible, easily realisable securities from banking funds is treated as income attributable to the business of banking for deduction under section 80P(2)(a)(i). The normal computation provisions apply before Chapter VI-A deduction, and the phrase "business of banking" is not confined narrowly to section 5(b) of the Banking Regulation Act; investments forming part of circulating capital remain within the banking activity. The attributable nexus test supports deductibility, and the discussion rejects reading the voluntary-reserve issue contrary to the statutory scheme. en-us Fri, 29 Jul 2005 00:00:00 +0530 Mon, 22 Jun 2009 13:29:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=9366 Interest earned by a co-operative bank on investments in permissible, easily realisable securities from banking funds is treated as income attributable to the business of banking for deduction under section 80P(2)(a)(i). The normal computation provisions apply before Chapter VI-A deduction, and the phrase "business of banking" is not confined narrowly to section 5(b) of the Banking Regulation Act; investments forming part of circulating capital remain within the banking activity. The attributable nexus test supports deductibility, and the discussion rejects reading the voluntary-reserve issue contrary to the statutory scheme. Case-Laws Income Tax Fri, 29 Jul 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=9366