Surplus on redemption of treasury bills taxable under Capital Gains: ITAT Mumbai

Bajaj Auto Ltd. Vs DCIT (ITAT Mumbai) ITAT Mumbai held that surplus on redemption of treasury bills is taxable under the head Capital Gains and not under the head ‘Profits and Gains of Business’. Facts- The return of income declaring total income of 592,90,19,690/- was filed on 29.12.1999. The case was subject to scrutiny assessment and notice u/s 143(2) of the Act was issued and served upon the assessee. The assessment u/s 143(3) of the Act was finalized on 11.03.2002 and total income was assessed at Rs.654,33,13,860/- after making various additions and disallowances of expenses. Being ag...