1991 (6) TMI 13 - HC - Income Tax

Summary

The High Court of Andhra Pradesh upheld the decision of the Income-tax Appellate Tribunal, ruling that the interest earned by the assessee-company on investment of its funds could not be deducted from the capital cost for the assessment year 1983-84. The court referred to a similar case and concluded that the interest receipt on share money deposit constitutes income and cannot be set off against interest expenses. The judgment favored the Revenue and dismissed the reference.