Itta/328/2013 Of The Commissioner Of Income Tax - Iv v. M/S My Home Industries Ltd

HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTAANDHON’BLE SRI JUSTICE K.C.BHANU I.T.T.A.No.328 of 2013 Date: 13.08.2013 Between: The Commissioner of Income Tax-IV,Hyderabad. .....Appellant AND M/s My Home Industries Ltd.,Hyderabad.. ...Respondent HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTAANDHON’BLE SRI JUSTICE K.C.BHANU I.T.T.A.No.328 of 2013 JUDGMENT:(per Hon’ble the Chief Justice Sri Kalyan Jyoti Sengupta ) We have heard Sri J.V.Prasad, learned Counsel for theappellant, and gone through the judgment and order of the learnedTribunal. It appears that the learned Tribunal has come to the factfinding that there is nexus between the expenditure and thepurpose of the business. The assessee took loan from ICICI Bankand the same was utilized for the purpose of acquisition of sharesof APGPCL. Thus, it has been correctly held that it cannot beconsidered as investment in relation to earning of incomeexempted from tax. It has been found that the expenditureincurred by the assessee towards interest on loan from ICICI Bankis to be allowable as deduction under Section 36(1)(iii) of theIncome Tax Act. The learned Tribunal correctly found that nointerference was called for under Section 263 of the Income TaxAct. In view of the aforesaid discussion, we do not find any meritin this appeal. Accordingly, the appeal is dismissed. No order asto costs. ___________________ K.J. SENGUPTA, CJ _______________ K.C.BHANU, J