https://www.taxtmi.com/caselaws?id=277197 Income from interest on securities falls under a distinct and exclusive statutory head and cannot be treated as business income merely because the securities form part of a bank's circulating capital. Brought-forward business losses therefore cannot be set off against such interest income. Section 8 permits only commission actually deducted by a banker collecting interest for the assessee, not administrative expenses incurred where the assessee collects the interest directly. Interest on borrowings used to acquire tax-free securities is also not deductible from taxable interest income, because the borrowing does not relate to earning chargeable income. en-us Mon, 18 May 1953 00:00:00 +0530 Wed, 28 Nov 2018 15:54:52 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=277197 Income from interest on securities falls under a distinct and exclusive statutory head and cannot be treated as business income merely because the securities form part of a bank's circulating capital. Brought-forward business losses therefore cannot be set off against such interest income. Section 8 permits only commission actually deducted by a banker collecting interest for the assessee, not administrative expenses incurred where the assessee collects the interest directly. Interest on borrowings used to acquire tax-free securities is also not deductible from taxable interest income, because the borrowing does not relate to earning chargeable income. Case-Laws Income Tax Mon, 18 May 1953 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=277197