M/S.upasana Finance Ltd., Chennai-4 v. The Assistant Commissioner Of Income Tax, Company Circle Iii(3), Chennai-34

In the High Court of Judicature at Madras Dated : 09.2.2016 Coram : The Honourable Mr.Justice V.RAMASUBRAMANIAN and The Honourable Mr.Justice N.KIRUBAKARAN Tax Case Appeal No.948 of 2007 M/s.Upasana Finance Ltd., Chennai-4....Appellant Vs The Assistant Commissioner of Income Tax, Company Circle III(3), Chennai-34....Respondent APPEAL under Section 260A of the Income Tax Act, 1961 against the order dated 6.9.2006 made in I.T.A.No.2156/Mds/2003 on the file of the Income Tax Appellate Tribunal, Madras 'B' Bench for the assessment year 2000-2001. For Appellant : Mr.P.J.RishikeshFor Respondent : Mr.K.Sureshkumar for Mr.M.Swaminathan JUDGMENT WAS DELIVERED BY V.RAMASUBRAMANIAN,J This appeal by the assessee was admitted on 26.6.2007 on the following two substantial questions of law : "(i) Whether on the facts and circumstances of the case, the Tribunal was justified in treating the expenditure in the acquisition of software as of capital nature ? and (2) V.RAMASUBRAMANIAN,JANDN.KIRUBAKARAN,J (ii) Whether on the facts and circumstances of the case, the Tribunal is correct in disallowing provisions for non performing assets, which was debited in the profit and loss account ?" RS 2. Heard Mr.P.J.Rishikesh, learned counsel for the appellant and Mr.K. Sureshkumar, learned counsel for the respondent. 3. The first question of law is to be answered in favour of the assessee, in view of the decision of this Court in CIT Vs. Shri Renuga Textile Mills Limited [(2014) 366 ITR 649]. The second question of law is to be answered against the assessee and in favour of the Department in view of the decision of this Court in Sundaram Finance Limited Vs. Assistant CIT [(2009) 318 ITR 452]. 4. The above tax case appeal is disposed of accordingly. No costs. 09.2.2016 Internet : Yes To 1.The Assistant Commissioner of Income Tax, Company Circle III(3), Ch-34.2.The Income Tax Appellate Tribunal, Madras 'B' Bench