https://www.taxtmi.com/caselaws?id=38217 Interest on deposited sale proceeds is taxable according to ownership of the underlying proceeds. Where lorries were under hire-purchase and belonged to the financiers, the sale proceeds and the interest on their deposit were treated as the financiers' property, so the interest was not assessable in the assessee-company's hands. By contrast, timber logs pledged with bankers remained the company's property; the sale proceeds and the interest earned on their deposit retained that character, so the interest was assessable in the company's hands. The tax position therefore differed between the two classes of assets, producing only partial taxability of the interest income. en-us Wed, 08 Sep 1976 00:00:00 +0530 Sat, 03 Apr 2010 18:31:30 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=38217 Interest on deposited sale proceeds is taxable according to ownership of the underlying proceeds. Where lorries were under hire-purchase and belonged to the financiers, the sale proceeds and the interest on their deposit were treated as the financiers' property, so the interest was not assessable in the assessee-company's hands. By contrast, timber logs pledged with bankers remained the company's property; the sale proceeds and the interest earned on their deposit retained that character, so the interest was assessable in the company's hands. The tax position therefore differed between the two classes of assets, producing only partial taxability of the interest income. Case-Laws Income Tax Wed, 08 Sep 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=38217