The Commissioner Of Income Tax v. Dalal Street Investments Ltd

IN THE HIGH COURT OF JUDICATURE AT BOMBAY IN THE HIGH COURT OF JUDICATURE AT BOMBAY IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO. 1309 OF 2008 The Commissioner of Income Tax ... Appellant The Commissioner of Income Tax ... Appellant The Commissioner of Income Tax ... Appellant Versus Dalal Street Investments Ltd. ... Respondent Mr.P.S. Sahadevan with Mr. Vimal Gupta for the Appellant. Mr. Nilesh Joshi with Mr. A.K. Jasani for Respondent. CORAM: F.I. REBELLO, &R.S. MOHITE, JJ. CORAM: F.I. REBELLO, & R.S. MOHITE, JJ. DATED: FEBRUARY 17, 2009 P.C. P.C. . This appeal is in respect of assessment year 2001-2002. . The appeal has been preferred on the following two questions : "(a) Whether on the facts and in the circumstances of the case the Hon’ble Tribunal was right in deleting the disallowance of loss, claimed by the Assessee Company of Rs.1,00,57,471/- on redemption of units of Sun F&C Mutual Fund, that was disallowed by the Assessing Officer on account of dividend stripping? (b) Whether on the facts and in the circumstances of the case the Hon’ble Tribunal was right to hold that the provisions of section 234D are applicable from 1st June, 2003 and hence, not applicable to the year under consideration being A/Y 2001-02?" . In so far as question (a) is concerned, the same is covered by the judgment of this court in CIT Vs. Wallford Shares and Stocks, reported in 219 ITR 409. . In so far as question (b) is concerned, considering that we uphold the order of CIT in favour of the assessee, the consequence would be that the Petitioner’s income will be shown as loss. That being the case, question (b) becomes academic and consequently for the present, need not be decided. Appeal accordingly disposed of. (R.S. MOHITE, J.) (R.S. MOHITE, J.)(F.I. REBELLO,J.) (F.I. REBELLO,J.)