Section 10AA benefit not admissible when fixed deposits are not made for business exigencies

Excelra Knowledge Solutions (P) Ltd. Vs DCIT (ITAT Hyderabad) ITAT Hyderabad held that when fixed deposits are made with an investment decision and is not made for business exigencies or requirement of other business obligations. Then, benefit of section 10AA of the Income Tax Act cannot be given on such interest earned. Accordingly, appeal dismissed. Facts- During the course of assessement proceedings, AO noted that the assessee has earned interest income on fixed deposits made with banks which has been included in the business income while computing deduction u/s 10AA of the Act. AO held tha...