1990 (8) TMI 78

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ess is to manufacture tyres and sell them. It is not disputed that the company has not yet started its business. It is incurring expenses for the purpose of construction of a factory to start the business. The company is prohibited from investing funds except by depositing in scheduled banks. As per article 24 of the memorandum of association, the company has made some fixed deposits from out of w .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... case, the income earned by the assessee amounts to business income when investment of the money of the company not immediately required is one of the objects of the company ?" Investment in banks of the amounts is not the main business of the assessee. It is on account of the fact that there is a direction that funds of the company cannot be taken anywhere else other than being deposited in sche .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X