Director Of Income Tax(International Taxation v. Abu Dhabi Commercial Bank Ltd

ITXA-220 ASN IN THE HIGH COURT OF JUDICATURE AT BOMBAYORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO. 220 OF 2010 Director of Income tax(International Taxation). Vs. Abu Dhabi Commercial Bank Ltd. ..Appellant. ..Respondent. Mr. Suresh Kumar for the Appellant. Ms. Prachi Raj Mhatre i/by M.S. Bodhanwala & Co. fort the Respondent. CORAM: DR.D.Y. CHANDRACHUD & M.S.SANKLECHA, JJ. March 5, 2012. P.C. This appeal by the Revenue under Section 260A of the Income Tax Act, 1961 arises from a decision of the Income Tax Appellate Tribunal dated 14 February 2007; the assessment year in issue in this appeal being 1995-96. The questions of law which have been raised by the Revenue are as follows: 1Whether on the facts and in the circumstances of the case and in law, the ITAT was justified in upholding the Order of the CIT (Appeals) in allowing exemption of interest u/s. 10(15) on gross basis? 2Whether on the facts and in the circumstances of the case and in law, the ITAT was justified in allowing exemption in respect of gross interest instead of net interest? 3Whether after the insertion of section 14A, any expenditure relating to earning of exempt income can be permitted? 2We have perused the grounds of appeal which were raised before the Tribunal on behalf of the Revenue. Ex-facie the grounds which are now sought to be raised in the present appeal were not grounds taken in the appeal before the Tribunal. As a matter of fact, the issue pertaining to the grant of exemption under Section 10(15) arose in relation to Assessment Year 1997-98. This appeal as noted earlier relates to A.Y. 1995-96 for which the questions of law sought to be raised do not arise from the order of the Tribunal. The Appeal is therefore not maintainable and is accordingly dismissed. (DR.D.Y. CHANDRACHUD,J.) (M.S.SANKLECHA, J.)