https://www.taxtmi.com/caselaws?id=39584 Interest earned by a co-operative bank on securities held to satisfy banking liquidity and statutory reserve requirements is treated as business income when those securities form part of the bank's circulating capital and normal banking operations. The fact that the income may be assessed under a separate head for computation under the Income-tax Act does not alter its character if it arises from banking activity. On that basis, such interest qualifies for exemption under section 80P(2)(a)(i), and the assessee is entitled to the benefit. en-us Wed, 10 Oct 1973 00:00:00 +0530 Mon, 19 Apr 2010 10:14:26 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=39584 Interest earned by a co-operative bank on securities held to satisfy banking liquidity and statutory reserve requirements is treated as business income when those securities form part of the bank's circulating capital and normal banking operations. The fact that the income may be assessed under a separate head for computation under the Income-tax Act does not alter its character if it arises from banking activity. On that basis, such interest qualifies for exemption under section 80P(2)(a)(i), and the assessee is entitled to the benefit. Case-Laws Income Tax Wed, 10 Oct 1973 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=39584