The Commissioner Of Income Tax-1Mumbai v. M/S. Thirumalai Chemicals Limitedmumbai

IN THE HIGH COURT OF JUDICATURE AT BOMBAYORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.7007 OF 2010 WITH INCOME TAX APPEAL NO.7010 OF 2010WITH INCOME TAX APPEAL NO.7013 OF 2010 The Commissioner of Income Tax-1Mumbai versus ..Appellant M/s. Thirumalai Chemicals LimitedMumbai..Respondent -------- Mr. Vimal Gupta, Senior Counsel i/b Ms. Padma Diwakar for the Appellant. Mr.Hiro Rai with Mr. Subhash Shetty for the Respondent. ............. CORAM : J.P. DEVADHAR & M.S.SANKLECHA, JJ. DATE : 16[th] October, 2012 P.C. : 1 The question of law raised in all these three appeals read thus: “ Whether on the facts and in the circumstances of the case and in law the Tribunal was justified in holding that interest expenses though capitalised in the books of accounts of the Assessee Company as such expenses related to the expansion of the business of the Assessee Company, is allowable under Section 36(1)(iii) of the Income Tax Act? “ 2The aforesaid question stands covered against the Revenue by the decision of the Apex Court in the case of DCIT v. Core Health Care Ltd. reported in (2008)298 ITR 194 (SC) and DCIT v. Gujrat Alkalies and Chemical Ltd. reported in (2008) 299 ITR 85 (SC). In this view of the matter, we see no reason to entertain the appeals. Accordingly, the appeals are dismissed with no order as to costs. (M.S. SANKLECHA, J.) (J.P.DEVADHAR, J.)