M/S. GREEN AGRO PACK (P) LTD. vs. THE COMMISSIONER OF INCOME TAX

1 IN THE HIGH COURT OF KARNATAKA AT BENGALURU

DATED THIS THE 12TH DAY OF MARCH 2020

PRESENT THE HON’BLE MR. JUSTICE ALOK ARADHE

AND

THE HON’BLE MR. JUSTICE M. NAGAPRASANNA

I.T.A.No.36/2013

BETWEEN:

M/s GREEN AGRO PACK (P) LTD., No.2821, HAL II STAGE, 6TH CROSS, 18TH MAIN, BANGALORE-560008 REP. BY ITS M.D. B.M.DEVAIAH.

… APPELLANT

(BY SRI K.P.KUMAR, SENIOR ADV. A/W SRI ATUL K. ALUR, ADV.)

AND:

… RESPONDENTS

(BY SRI E.I.SANMATHI, ADV. FOR SRI K.V.ARAVIND, ADV.)

THIS ITA IS FILED UNDER SECTION 260-A OF I.T.ACT, 1961 ARISING OUT OF ORDER DATED 31.08.2012 PASSED IN ITA No.61/BANG/2010 FOR THE ASSESSMENT YEAR 2005-2006, PRAYING TO FORMULATE THE SUBSTANTIAL QUESTIONS OF LAW STATED THEREIN AND ALLOW THE APPEAL AND SET ASIDE THE ORDER OF THE ITAT IN ITA No.61/BANG/2010 DATED 31.08.2012.

THIS APPEAL COMING ON FOR HEARING, THIS DAY, ALOK ARADHE J., DELIVERED THE FOLLOWING:

JUDGMENT This appeal has been filed by the assessee under Section 260-A of the Income Tax Act, which was admitted by the Division bench of this Court vide order dated 26.08.2013 on following substantial questions of law:- “a) Whether on the facts and circumstances on case the Tribunal was justified in treating the staff loan is not in connection with business as provided u/s. 10-B of the I.T. Act? b) Whether on the facts and circumstances on case the Tribunal was justified in treating the sale of scrap is not in connection with export business as provided u/s. 10- B of the I.T. Act? c) Whether on the facts and circumstances on case the Tribunal was justified in confirming the order passed u/s. 143(3) of the I.T. Act?

3 d) Whether on the facts and circumstances of the case the Tribunal was right in coming to the conclusion that interest earned on staff loans and fines collected from the staffs as a income from other source instead of business income? e) Whether on the facts and circumstances of the case the Tribunal was right in treating the sale of scrap claimed received the extent of Rs.40,385/- as a income from other source against the loss of assets/properties and directly not attributable to the business? f) Whether on the facts and circumstances of the Tribunal was right in withdrawing the claim of deduction u/s. 10-B of the I.T. Act?”

(a) to (d) have been answered in favour of the assessee by the Division Bench of this Court vide

4 order dated 25.08.2014 passed in ITA No.230/2008. It is further submitted that the substantial question of law namely, substantial question of law (e) has not been dealt with by the Income Tax Appellate Tribunal and therefore, the orders passed by the Income Tax Appellate Tribunal as well as the Commissioner of Income Tax (Appeals) and the Assessing Officer be quashed and the matter be remitted to the Assessing Officer for decision afresh on substantial question of law namely, substantial question of law (e).

5 aside and the matter is remitted to the Assessing Officer to decide the substantial question of law namely, substantial question of law (e) afresh by a speaking order expeditiously.

Accordingly, the appeal is disposed of.

Sd/- JUDGE

Sd/- JUDGE

PMR.