THE COMMISSIONER OF INCOME TAX, vs. THE BELAGAVI DISTRICT CO-OP.,

IN THE HIGH COURT OF KARNATAKA DHARWAD BENCH DATED THIS THE 16TH DAY OF DECEMBER, 2015 PRESENT THE HON’BLE MR.JUSTICE S. ABDUL NAZEER AND THE HON’BLE MR.JUSTICE P.S.DINESH KUMAR ITA No.100027 OF 2015 BETWEEN: 1 THE COMMISSIONER OF INCOME TAX, DR. B.R.AMBEDKAR ROAD, BELGAVI. 2 THE ACIT, CIRCLE-2, BELAGAVI,

… APPELLANTS (BY SRI Y.V.RAVIRAJ, ADV.) AND THE BELGAUM DISTRICT CENTRAL CO-OP. BANK LTD., OLD P.B.ROAD, NEAR CENTRAL BUS STAND, BELAGAVI, PAN AAAAB0839M. …. RESPONDENT. (BY SRI ASHOK KULKARNI & SRI H.R.KAMBIYAVAR, ADVs.)

2 THIS ITA IS FILED UNDER SECTION 260A OF THE INCOME TAX ACT, 1961 TO SET ASIDE THE ORDER PASSED BY THE INCOME TAX APPELLATE TRIBUNAL,PANAJI BENCH, PANAJI, IN ITA NO.324/PNJ/2013, DTD:14.11.2014 AND ETC. THIS ITA COMING ON FOR ORDERS THIS DAY, P.S.DINESH KUMAR, J., DELIVERED THE FOLLOWING: JUDGMENT In this appeal by Revenue, following substantial question of law is raised; 1. Whether the Tribunal is right in law and on fact in deleting the additions on account of accrued interest on loans which are classified as “Non- performing Assets” relying on the Karnataka High Court decision in Canfin Homes Ltd., (2011) 5 Tax Corp (DT) 49593, ignoring the provisions of section 43D of the I.T.Act, 1961 amended w.e.f. 01.04.2000?” 2. Learned counsel appearing for the Assessee submits that in ITA No.471/2013 disposed

3 of on 30.06.2014, a Division Bench of this Court has answered the substantial questions of law in favour of the Assessee by following the earlier judgment in the case of Commissioner of Income Tax, Central Circle, Bangalore /vs./ Canfin Homes Limited ((2011) 201 TAXMAN 273/13 taxmann.Com 43(Karnataka). 3. Learned counsel for the assessee and revenue agree that the issue involved in this appeal and ITA No.471/2013 are one and the same. Consequently, this appeal by the revenue is dismissed. No costs. Sd/- JUDGE. Sd/- JUDGE. KLY/