https://www.taxtmi.com/caselaws?id=22016 Rule 1(x) of the First Schedule to the Companies (Profits) Surtax Act was construed to cover interest on Central Government securities and interest from Indian concerns only to the extent that such amounts formed part of total income under the Income-tax Act. Interest on Government securities was held to fall within income by way of interest from Government. However, exclusion under rule 1(x) applied only to net interest after permissible deductions and proportionate expenses, not to gross receipts. The later Explanation to Rule 1 was treated as clarificatory. The claim to deduct gross interest was rejected, and only net interest could be excluded. en-us Thu, 19 Jul 1990 00:00:00 +0530 Sat, 05 Dec 2009 15:14:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=22016 Rule 1(x) of the First Schedule to the Companies (Profits) Surtax Act was construed to cover interest on Central Government securities and interest from Indian concerns only to the extent that such amounts formed part of total income under the Income-tax Act. Interest on Government securities was held to fall within income by way of interest from Government. However, exclusion under rule 1(x) applied only to net interest after permissible deductions and proportionate expenses, not to gross receipts. The later Explanation to Rule 1 was treated as clarificatory. The claim to deduct gross interest was rejected, and only net interest could be excluded. Case-Laws Income Tax Thu, 19 Jul 1990 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=22016