Ita/418/2012 Of The Commissioner Of Income Tax v. M/S. Vijaya Bank

IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 20 DAY OF OCTOBER 272020PRESENT THE HON’BLE MR. JUSTICE ALOK ARADHE AND| THE HON’BLE MR. JUSTICE H.T.NARENDRA PRASADLT.A. NO. 418 OF 2012 BETWEEN: 1.|THE COMMISSIONER Of INCOME TAX. LTU JSS TOWERS| BSK III STAGE BANGALORE. 2.|THE JOINT COMMISSIONER OF INCOME TAX. LIU JSS TOWERS| BSK III STAGE BANGALORE. (BY Mr.K.V.ARAVIND, ADV.,) .., APPELLANTS. AND" M/S CANARA BANKNO.112, JC ROAD,OPPOSITE TO TOWN HALLBANGALORE - 560 OOL1 ~. RESPONDENT (BY Mr.T.SURYANARAYANA A/W MS.MAHIMA GOUD, ADVSs.) THIS ITA IS FILED UNDER SECTION 260-A OF I.T. ACT,|1961 ARISING OUT OF ORDER DATED 27.06.2012 PASSED IN ITA. NO.455/BANG/2011 FOR THE ASSESSMENT YEAR 2007-2008,PRAYING THAT THIS HON’ BLE COURT MAY BE PLEASED TO:(1) FORMULATE THE SUBSTANTIAL QUESTIONS OF LAW.STATED THEREIN.» (11) ALLOW THE APPEAL AND SET ASIDE THE ORDERS.PASSED BY THE ITAT, BANGALORE IN ITA NO.455/BANG/2011—DATED 22.06.2012 AND CONFIRM THE ORDER PASSED BY THE.JOINT COMMISSITONER OF INCOME TAX, LTU, BANGALORE. THIS ITA COMING ON FOR HEARING, THIS DAY,ALOKARADHE J.,DELIVERED THE FOLLOWING: | JUDGMENT This appeal under Section 260A of the Income TaxAct, 1961 (hereinafter referred to as the Act for short)nas been preferred by the revenue. The subject matterof the appeal pertains to the Assessment year 200/72008. The appeal was admitted by a bench of this Courtvide order dated 09.01.2013 on the following substantialquestion of law: (i) Whether the Tribunal was correct in-holding that the amount from lapsed Demand|Drafts, Gift Cheques etc., credited to P & L.account is not liable to tax In the hands of the|assessee, though no claims were made in.respect of such Drafts and cheques and.recorded a perverse finding? (ii) Whether the Tribunal was correct in-holding that the Commissioner was not.correct in exercising his power U/Ss.26.5 of tnAct in respect of lapsed Demand Drafts, Gift.Cheques etc., credited to P & L account and.directing the Assessing Officer to disallow theclaim of deduction2 2 |For the reasons assigned by us in the.judgment passed today in I.7.A.No.419/2012, thesubstantial questions of law framed by this court areanswered against the revenue and in favour of the.assessee. In the result, we do not find any merit in thisappeal, the same fails and is hereby dismissed. Sd/-.JUDGE. SS| Sd/-JUDGE.