Income Tax Reference v. M/S. Ballarpur Industries Ltd., New Delhi)Andincome Tax Reference

IN THE HIGH COURT OF JUDICATURE AT BOMBAYNAGPUR BENCH, NAGPUR. INCOME TAX REFERENCE NO. 69 OF 1994(Commissioner of Income Tax, Nagpur vs. M/s. Ballarpur Industries Ltd., New Delhi)ANDINCOME TAX REFERENCE NO. 85 OF 1994 (Commissioner of Income Tax, Nagpur vs. M/s. Ballarpur Industries Ltd., New Delhi) _____________________________________________________________________________ Office Notes, Office Memoranda of Coram,appearances, Court's orders or directionsand Registrar's Orders. Court's or Judge's orders. CORAM : B.P. DHARMADHIKARI & V.M. DESHPANDE, JJ. FEBRUARY 18, 2016. Heard Shri S.N. Bhattad, learned counsel for theapplicant – department and Shri Dewani, learned counselfor the respondent – assessee. The following four questions have been referredto this Court by a common order. The References arise outof two appeals before the Income Tax Appellate Tribunal(I.T.A.T.). “1.Whether, on the facts and in the circumstances ofthe case, the ITAT was justified in directing that deduction ofRs.3,32,665/- be allowed though the amount constitutedwithholding tax in Indonesia and Malaysia ? 2.Whether, on the facts and in the circumstances ofthe case, the ITAT was justified in directing that the receiptsfrom foreign countries be taxed less the taxes withheld ratherthan credit being worked-out in accordance with theprovisions of the Act, 1961 ? 3.Whether, on the facts and in the circumstances ofthe case, the ITAT was correct in sustaining the deletion ofRs.30.94 lakh by the CIT (A) on account of interest free loan given to APRL ? 4.Whether, on the facts and in the circumstances ofthe case, the ITAT was justified in confirming the impugnedorder passed by the CIT (A) in deleting the addition ofRs.92,000/- made by the A.O. on account of section 92 beingattracted to the assessee's case ?” The total tax effect has been worked out asunder: The total tax liability, therefore, does not exceedRs.20 lakh. Hence, following the C.B.D.T. Instruction No.21 dated 10.12.2015, we return the reference unanswered.However, other matters between assessee and departmentare coming up after two weeks. Hence, papers should bepreserved and made available for use of this Court alongwith Income Tax Reference No. 3 of 1995. Income Tax References are disposed ofaccordingly. JUDGE JUDGE