Frigorifico Allana Ltd v. Commissioner Of Income Tax

-1- IN THE HIGH COURT OF JUDICATURE AT BOMBAY O.O.C.J. Income Tax Appeal no. 707 of 2002 Frigorifico Allana Ltd. ..Appellant vs. Commissioner of Income Tax ..Respondent Mr.Jitendra Jain i/b M/s Joy Legal Consultants for appellant. Mr.P.S.Sahadevan for respondent. CORAM: Dr.S.RADHAKRISHNAN & S.J.KATHAWALLA JJ. 6th August, 2008 P.C. P.C. 1. Heard the learned Counsel for the appellant and the learned Counsel for the respondents. In the present appeal two substantial questions of law have been raised which read as under:- 1) Whether the Appellant rightfully claimed the deduction under section 80HHC? 2) Whether the interest earned by the appellant from the income derived in the course of business could be assessed as income from other sources? 2. The learned Counsel for the appellant brought to our -2- notice that the Tribunal has decided the substantial questions of law based on the judgment of our Court delivered in the case IT Vs. K.K.Doshi and Co. reported in 245 ITR 849 (Bom). The learned Counsel for the appellant submitted that now the aforesaid judgment has been over ruled by the Hon’ble Supreme Court of India in K.K.Doshi and Co. Vs. Commissioner of Income Tax reported in (2008) 297 ITR 38 (SC). In the light of the above on this limited ground that both the questions of law were answered based on the Bombay High Court judgment has now been overruled by the Hon’ble Supreme Court, we set aside the order of Income Tax Tribunal dated 20th February, 2002 and order of the CAT (Appeals) and remit the matter back to the original assessing officer to consider the matter only with respect to "interest" afresh specially in the light of the aforesaid judgment of the Supreme Court. Appeal stands disposed of accordingly. (S.J.KATHAWALLA J.) (Dr.S.RADHAKRISHNAN J.) (S.J.KATHAWALLA J.) (Dr.S.RADHAKRISHNAN J.)