https://www.taxtmi.com/caselaws?id=27731 A banking company's surplus on maturity or redemption of securities held to satisfy section 24 liquidity requirements is treated as business income, because the securities remain part of circulating funds and their realisation is a normal incident of banking operations, not a capital transaction. The gratuity amount was also held allowable as a deduction, with the issue governed by earlier binding authority and no fresh controversy remaining. The stated ratio is that securities held as part of statutory or prudent deployment of a bank's funds generate a trading receipt taxable as business income rather than capital gain. en-us Tue, 10 Jul 1984 00:00:00 +0530 Mon, 15 Feb 2010 16:52:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=27731 A banking company's surplus on maturity or redemption of securities held to satisfy section 24 liquidity requirements is treated as business income, because the securities remain part of circulating funds and their realisation is a normal incident of banking operations, not a capital transaction. The gratuity amount was also held allowable as a deduction, with the issue governed by earlier binding authority and no fresh controversy remaining. The stated ratio is that securities held as part of statutory or prudent deployment of a bank's funds generate a trading receipt taxable as business income rather than capital gain. Case-Laws Income Tax Tue, 10 Jul 1984 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=27731