High Court Kerala High Court

The Commissioner Of Income Tax vs M/S.Kallur Chits & Finance (P) Ltd on 29 July, 2009

Kerala High Court
The Commissioner Of Income Tax vs M/S.Kallur Chits & Finance (P) Ltd on 29 July, 2009
       

  

  

 
 
  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.
                       -----------------------------------

                      I.T.A. No.714 of 2009
                      --------------------------------------

                Dated this the 29th day of July, 2009

                              J U D G M E N T

———————-

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