The Commissioner Of Income Tax vs M/S.Irinjalakuda Kuries & … on 30 July, 2009

       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

ITA.No. 763 of 2009()


1. THE COMMISSIONER OF INCOME TAX,
                      ...  Petitioner

                        Vs



1. M/S.IRINJALAKUDA KURIES & FINANCIERS
                       ...       Respondent

                For Petitioner  :SRI.P.K.R.MENON,SR.COUNSEL, GOI(TAXES)

                For Respondent  : No Appearance

The Hon'ble MR. Justice C.N.RAMACHANDRAN NAIR
The Hon'ble MR. Justice C.K.ABDUL REHIM

 Dated :30/07/2009

 O R D E R
                   C.N.RAMACHANDRAN NAIR &
                           C.K.ABDUL REHIM, JJ.
              ....................................................................
                        I.T. Appeal No.763 of 2009
              ....................................................................
                 Dated this the 30th day of July, 2009.

                                     JUDGMENT

Ramachandran Nair, J.

The issue raised is whether the assessee is liable to pay interest

tax under the Interest Tax Act on interest received from company

deposits and deposits under the Indira Vikas Pathra scheme. Since

these are in the nature of investments and not loans or advances, the

department’s claim is not tenable. Consequently we dismiss the appeal.

C.N.RAMACHANDRAN NAIR
Judge

C.K.ABDUL REHIM
Judge
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