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2016 (10) TMI 846 - AT - Income TaxTreatment to amount on account of interest on FDRs to be 'income from other sources' - nature of income - Held that:- As decided in Jaypee DSC Ventures [2011 (3) TMI 309 - Delhi High Court ] the bank guarantee was furnished as a condition precedent to entering into the contract and further it was to be kept alive to fulfil the obligations - interest earned by the assessee on the FDRs has intrinsic and inseggregable nexus with the work undertaken and, therefore, the interest earned by the assessee is capital in nature and shall go towards adjustment against the project expenditure and the same cannot be assessed as income from other sources - Decided in favour of the assessee
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