https://www.taxtmi.com/caselaws?id=21510 Interest earned on investment of funds during the pre-production period was treated as taxable income and could not be adjusted against borrowed-fund interest or deducted from capital cost. The court applied its earlier view that such pre-production interest receipts do not form part of capitalisation and held the reliance on the cited prior decision inapplicable on the facts. The question was answered in favour of the Revenue and against the assessee, confirming that the interest receipt could not reduce the project's capital cost for assessment year 1983-84. en-us Fri, 28 Jun 1991 00:00:00 +0530 Wed, 25 Nov 2009 10:49:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=21510 Interest earned on investment of funds during the pre-production period was treated as taxable income and could not be adjusted against borrowed-fund interest or deducted from capital cost. The court applied its earlier view that such pre-production interest receipts do not form part of capitalisation and held the reliance on the cited prior decision inapplicable on the facts. The question was answered in favour of the Revenue and against the assessee, confirming that the interest receipt could not reduce the project's capital cost for assessment year 1983-84. Case-Laws Income Tax Fri, 28 Jun 1991 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=21510