IN THE HIGH COURT OF KERALA AT ERNAKULAM
ITA.No. 714 of 2009()
1. THE COMMISSIONER OF INCOME TAX,
... Petitioner
Vs
1. M/S.KALLUR CHITS & FINANCE (P) LTD.,
... Respondent
For Petitioner :SRI.JOSE JOSEPH, SC, FOR INCOME TAX
For Respondent : No Appearance
The Hon'ble MR. Justice C.N.RAMACHANDRAN NAIR
The Hon'ble MR. Justice C.K.ABDUL REHIM
Dated :29/07/2009
O R D E R
C.N.RAMACHANDRAN NAIR & C.K.ABDUL REHIM, JJ.
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I.T.A. No.714 of 2009
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Dated this the 29th day of July, 2009
J U D G M E N T
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Ramachandran Nair,J.
The first question raised that is liability under the Interest Tax Act
on the interest component of hire charges received is concerned, it is
decided by this Court against the assessee in the judgment reported in
Commissioner of Income Tax Vs. Kerala State Financial
Enterprise and others (220 CTR 286). Following the said judgment
we allow the appeal by setting aside the order of the Tribunal and first
appellate authority and remand the case back to the Assessing Officer
for computation of liability in accordance with the judgment above
referred after giving an opportunity to the assessee and after serving a
copy of this judgment on the assessee. So far as the next question, that
is liability under Interest Tax Act on the interest received in defaulted
kuries, is concerned, the issue stands decided against the Revenue by
our judgment in ITA.175 of 2009. Following the said judgment we reject
the departmental appeal on this issue.
The appeal is partly allowed as above.
C.N.RAMACHANDRAN NAIR, JUDGE.
C.K.ABDUL REHIM, JUDGE.
okb