equivalent to US$ 300 million by issue of Foreign
Currency Convertible Bonds (FCCB). The issue date of bond was 10.10.06
which was matured ... FCCB means a bond expressed in
foreign currency, the principal and interest in respect of which is payable in
foreign currency, issued by an Issuing
lying idle out of the issue of
FCCBs. Certain portion of the FCCB proceeds were deployed in fixed deposits in
overseas banks. It was brought ... Foreign Currency Convertible Bonds, it was explained
that since money raised through FCCB was not permitted to be parked/brought in
India unless
assessee to explain as to why interest income was
adjusted against the FCCB issue expenses and interest paid and that in
terms of the judgment ... regards assessee's alternate
claim of interest paid on FCCB funds against the interest income, the
CIT(A) denied the same by observing that
were incurred in connection with the issue
of foreign currency convertible bonds (FCCB).
The Assessing Officer noticed that the assessee had incurred expenses of
identical ... case of Prime Focus Ltd., the Tribunal
observed that the FCCB is akin to borrowings made by issuing debentures and
both of them are different
Foreign Exchange Management (Deposit) Regulations, 2016; (xvi) 'Foreign Currency Convertible Bond (FCCB)' means a bond issued under the Issue of Foreign Currency Convertible Bonds
Dcit, Chennai vs Sical Logistics Ltd., Chennai on 18 August, 2017
आयकर अपील य अ
like this. The assessee had two
series of foreign currency convertible bonds (FCCB) in financial year 2007-08. The
FCCBs so issued, amounting ... These FCCBs were
restructured in May 2009 and, accordingly, zero coupon FCCB amounting to USD $
9,40,04,000 were replaced with 7.50% interest bearing
year under consideration, the company issued unsecured Foreign
Currency Convertible Bonds(FCCB) amounting to Rs. 30 crores. At the time of
issuance of FCCB ... order u/s 143(3) disallowed the
expenditure incurred on issue of FCCB on the basis that since the expenses does not
represent interest expenses
being expenses incurred on the issue of
zero coupon convertible bonds / FCCB as revenue
expenditure under ... failed to appreciate that it is
well settled law that FCCB when issued is a loan,
whether it is convertible or non convertible would
towards capital assets purchased by raising funds through foreign
currency convertible Bonds (FCCB) by holding the exchange fluctuation
gain to be revenue in nature without ... expenditure
on expansion The gain of Ks.16968381/- on exchange fluctuation
of FCCB (Dollars) has been capital/zed, i.e., adjusted to the
carrying cost
