Itta/275/2012 Of The Commissioner Of Income Tax-I v. Prasad Film Laboratories Limited

IN THE HIGH COURT OF JUDICATURE, ANDHRAPRADESH AT HYDERABAD WEDNESDAY, THE TENTH DAY OF JULYTWO THOUSAND AND THIRTEEN PRESENT THE HON’BLE THE CHIEF JUSTICESRI KALYAN JYOTI SEN GUPTA AND THE HON'BLE MS. JUSTICE G.ROHINI I.T.T.A. No.275 OF 2012 Between: Commissioner of Income Tax-IHyderabad ..... Appellant AND M/s. Prasad Film Laboratories Ltd., LV Prasad Marg, Banjara Hills,Hyderabad. .....Respondent The Court made the following : JUDGMENT:(per the Hon’ble the Chief Justice Sri K.J. Sengupta) This appeal is sought to be preferred against the judgment and order of the learned Tribunal dated5.09.2008 in relation to the assessment year 2003-2004, on the following suggested questions of law: 1.Whether on the facts and in thecircumstances of the case, the Tribunalwas correct in law in holding that theassessee was entitled to treat the un-recovered dues towards cost of the filmssupplied to producers as business lossthough the assessee is not involved inbusiness of purchase and sale of films? 2. Whether in the facts and in thecircumstances of the case, the ITAT isjustified in allowing irrecoverable dues onaccount of cost of films againstcommission income or film processing? We have heard the learned counsel for theappellant and we have gone through the impugnedjudgment and order of the learned Tribunal. The learnedTribunal while deciding this matter has followed theearlier decision of the tribunal in the assessee’s owncase for the assessment year 1998-1999 and 1999-2000 being dated 15.09.2006. The earlier order of theTribunal was passed basing on the decision of theSpecial Bench of the Tribunal in the case of Deputy CITV/s. Oman International Bank, SAOG reported in (2006)100 ITD 285 (Mum.)(SB). The facts and circumstancesof this case are identical to that of the Special Benchcase. Therefore, we do not see any reason to interferewith the impugned judgment and order. Consequently, we dismiss the appeal. No order as to costs. ______________________Kalyan Jyoti Sengupta, CJ. July 10, 2013MASb __________G.Rohini, J.