https://www.taxtmi.com/caselaws?id=34903 Interest earned on fixed deposits kept to secure bank credit facilities was examined for deduction under s. 80HHC. The HC held that such interest lacks an immediate nexus with export business, and must be assessed as "income from other sources" rather than "business income"; consequently, it was excluded while computing eligible profits for s. 80HHC deduction. On computation of deduction where export results were negative, the HC held that "profits" in s. 80HHC(1) and s. 80HHC(3) necessarily means a positive figure after setting off losses, so both profits and losses must be considered; accordingly, no deduction is allowable on a negative profit figure. en-us Fri, 30 Oct 2009 00:00:00 +0530 Sat, 03 Jan 2026 13:01:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=34903 Interest earned on fixed deposits kept to secure bank credit facilities was examined for deduction under s. 80HHC. The HC held that such interest lacks an immediate nexus with export business, and must be assessed as "income from other sources" rather than "business income"; consequently, it was excluded while computing eligible profits for s. 80HHC deduction. On computation of deduction where export results were negative, the HC held that "profits" in s. 80HHC(1) and s. 80HHC(3) necessarily means a positive figure after setting off losses, so both profits and losses must be considered; accordingly, no deduction is allowable on a negative profit figure. Case-Laws Income Tax Fri, 30 Oct 2009 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=34903