Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2014 (7) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (7) TMI 13 - HC - Income TaxDeduction u/s 80HHC – Interest income - interest was earned from the EEFC account - assessee contended that the amount of interest is pending the utilization of the Account for the purpose of export - Held that:- The proceeds of the EEFC account are to be utilized for bona fide payments by the account holder subject to the limits and the conditions prescribed. It is in these circumstances, that the interest which had arisen as a result of the deposits maintained in the EEFC account, cannot be regarded as representing the business income of the assessee. The business of the assessee consists of manufacture and export of garments. The interest income which was generated from the deposits held in the EEFC account would not fall for classification as income under the head of business and profession but would fall for classification as income from other sources - Decision in the case of Shah Originals [2010 (4) TMI 216 - BOMBAY HIGH COURT] followed – Decided against assessee.
|