Commissioner Of Income Tax v. Kiduja Industries Ltd

bgp IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL (L)NO.1695 OF 2009 Commissioner of Income Tax Vs. Kiduja Industries Ltd. ..Appellant ..Respondent Mr.Ram Upadhyay for appellant. Mr.A.K.Jasani for respondent. P.C. CORAM :- V.C.DAGA &J.P.DEVADHAR,JJ. 25TH AUGUST, 2009 DATE : Leave to amend. Amendment to be carried out forthwith.Office objections are overruled. Registry is directed to register the appeal. 2.Heard learned Counsel for the parties. Following substantial questions of law are sought to be raised in the appeal. a)Whether on the facts and circumstances of the case and in law the Tribunal was correct in allowing service charges as income from business instead of house property ? b) Whether on the facts and circumstances of the case and in law the Tribunal was correct in remanding back the issue to Ld.A.O. for reworking the allowance of business expenditure after bifurcating receipts on account of service charges to be assessed as income from house property and business income ? c) Whether on the facts and circumstances of the case and in law the Tribunal was correct in disallowing the charging of interest by A.O.u/s.234(D) ? d) Whether on the facts and circumstances of the case and in law the ITAT was right in setting aside the order of Ld. CIT (A) ? 3.So far as question Nos.(a), (b) and (d) are concerned, the Tribunal has rightly remanded back the matter keeping question open for adjudication by the Assessing Officer. So far as question No.(c) is concerned, the appeal is liable to be dismissed since the said issue is squarely covered by our order dated 15th April, 2009 passed inITXA No.198 of 2009 CIT Vs. M/s.Bajaj Hindustan Ltd.,wherein it is held that “Section 234D of the I.T.Act came on statute book w.e.f. 1[st] June, 2003. If that be so, the said provision does not have retrospective effect.” In this view of the matter, appeal stands dismissed in limine for want of substantial question of law. No order as to costs. (J.P.DEVADHAR,J.) (V.C.DAGA,J.)