COMMISSIONER OF INCOME TAX vs. MANJU JAIN

Admit.

After hearing learned counsel for the parties, the following substantial questions of law are framed for determination:- (i)Whether the assessee was entitled to deduction of loss incurred due to confiscation against the income from smuggling activities in view of the first Explanation to Section 37(1) of the Income Tax Act, 1961, inserted with retrospective effect from 1.4.1962 ? . (ii) Whether ITAT was correct in law in allowing the deduction of loss of Rs,17,92,000/- to the assessee despite the fact that the confiscation was not made by the custom authorities during the year under consideration? ITA 1080/2006 Page 1 of 2 Appellant is directed to file the paper-books within three months in accordance with the High Court Rules.

List in due course. . . . . VIKRAMAJIT SEN, J . . . . S. MURALIDHAR, J DECEMBER 14, 2006 nj . . . ITA 1080/2006 Page 2 of 2 . . . 24