Essar Shipping Ltd. v. ACIT (2020) 79 ITR 555 (Mum) (Trib)

S.28(i) :Business income- Intercorporate deposit-Interest on margin money-Interest earned assessable as business income and not as income from other sources.[S.56 ]

Assessing which is carrying on business of drilling , mount advancing borrowed funds as intercorporate deposits to  its subsidiary to carry out drilling business. Income on such intercorporate deposits be treated as business income and not income from other sources . Money kept with bank as margin money out of business compulsion. Interest earned on  margin money taxable as business Income. ( AY.2013-14)