Deduction U/s. 80IC not eligible on Interest Income on FDRs Pledged as Security Deposit in lieu of tender of contracts

Conventional Fastners Vs ITO (ITAT Delhi) Briefly, the facts of the case are that assessee filed return of income declaring NIL income after claiming deduction under section 80IC of the I.T. Act. The assessee is a firm consisting of four partners. The factory of the firm is located at Industrial Area of Haridwar which is notified Khasra for claiming deduction under section 80IC of the I.T. Act. The assessee was asked to explain as to why deduction under section 80IC claimed on interest income of Rs.44,69,949/- may not be disallowed and added to the total income of the assessee. The assessee s...