Tax Appeal v. Barashiv Hanuman Ssk Ltd. Jawala Bazar

IN THE HIGH COURT OF JUDICATURE OF BOMBAYBENCH AT AURANGABAD TAX APPEAL NO. 1 OF 2010THE COMMISSIONER OF INCOME TAXVERSUSBARASHIV HANUMAN SSK LTD. JAWALA BAZAR ... ASG for Appellant : Shri Alok Sharma ...CORAM : NARESH H. PATIL & S. B. DESHMUKH, JJ.Dated: April 4, 2012... PER COURT :- 1.Heard respective counsel. 2.The questions of law, that have been urged by Shri Sharma, learned ASG are:- "(1)Whether on the facts and circumstances of the case, the Tribunal was justified in holding that the advances to Harvesting and Transport Contractors are in the nature of business advances ? (2)Whether on the facts and circumstances of the case, the Tribunal was justified in allowing interest on funds borrowed for the purposes of making interest free advances to the harvesting and transport contractors, as deductible expenditure ?" 3.In the Tax Appeal No. 52 of 2010 ( The Commissioner of Income Tax Vs.Purna Sahakari Sakhar Karkhana Ltd.) vide our order dated 28.2.2012, Division Bench of this Court, to which one of us was a party, (Coram : D.G.Karnik & S.B.Deshmukh,JJ.) has answered both the issues in favour of the assessee and against the revenue. Hence this appeal is dismissed. ( S. B. DESHMUKH, J. ) ( NARESH H.PATIL, J. )...