https://www.taxtmi.com/caselaws?id=430654 ITAT Delhi allowed appeals regarding TDS refund on fixed deposit interest income. Assessees had concession agreements with FCI for silo complex construction and were required to furnish bank guarantees, for which banks kept fixed deposits as security. The tribunal held that interest income from these deposits had direct nexus with business activity and should be treated as business income, eligible for set-off against construction costs. Despite departmental authorities rejecting refund claiming interest was adjusted against construction expenses, ITAT relied on CIT vs. Jaypee DSC Ventures Ltd precedent and directed AO to refund TDS amount to assessees. en-us Mon, 14 Nov 2022 00:00:00 +0530 Wed, 09 Jul 2025 13:08:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=430654 ITAT Delhi allowed appeals regarding TDS refund on fixed deposit interest income. Assessees had concession agreements with FCI for silo complex construction and were required to furnish bank guarantees, for which banks kept fixed deposits as security. The tribunal held that interest income from these deposits had direct nexus with business activity and should be treated as business income, eligible for set-off against construction costs. Despite departmental authorities rejecting refund claiming interest was adjusted against construction expenses, ITAT relied on CIT vs. Jaypee DSC Ventures Ltd precedent and directed AO to refund TDS amount to assessees. Case-Laws Income Tax Mon, 14 Nov 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=430654