COMMISSIONER OF INCOME TAX vs. M/S ESCORTS FINANCE LTD.

2006 Admit. Following substantial questions of law arise for consideration: ?1. Whether the Tribunal was justified in law in deleting the addition of Rs.3,38,30,000/- made on account of provisions debited by the assessee in the PandL A/c for doubtful debts and diminution in value of re-possessed stock by disregarding the provisions of Section 43D and 36(1)(viia) of the Act? .

Whether the policy directions issued by RBI to finance companies under the provisions of Reserve Bank of India Act, 1934 would have an overriding effect over the provisions of Income Tax Act,1961? .

Whether the Tribunal was justified in law in deleting the disallowance of Rs.58,86,433/- made by the CIT(A) under Section 14A at the Appellate stage holding the same to be beyond his juri iction? .

Whether in view of Section 14A of the Income Tax Act, ITAT was correct in law in allowing deduction of expenditure incurred by the assessee in relation . . to dividend income which admittedly does not form part of total income under the Act? .

Whether the Tribunal has correctly interpreted the provisions contained in Section 14A of the Income Tax Act while deciding the issue and controversy before it?? . . The Appellant is directed to file Paper book within three months, as per rules. List with ITA Nos.7/02, 408/03 and 1387/2006 in regular course. . . . VIKRAMAJIT SEN, J . . . S. MURALIDHAR, J NOVEMBER 28, 2006 dn