Interest on FD having no immediate nexus with business is taxable as Income from other sources

Pr. CIT Vs. Sangam Power Generation Co. Ltd. (Allahabad High Court) Where interest on Fixed Deposit Receipt had no immediate nexus with the business of assessee and business was yet to commence, then so long as assessee had no business income, the interest earned could not be treated as business income and it had to be treated as ‘Income from other sources’. Full Text of the ITAT Order is as follows:- Heard Sri Manish Misra, learned counsel for appellant and Sri Namit Sharma, learned counsel for respondent. 2. These appeals under section 260(A) of Income Tax Act, 1961 (hereinafter referred...