THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE - 2(1), MANGALORE vs. KARNATAKA BANK LIMITED., MANGALORE

In the result, the appeal of the assessee is partly allowed for statistical purposes and the revenue’s appeal is dismissed

Bench: Shri Laxmi Prasad Sahu & Shri Soundararajan K., Judciial Member Assessment Year : 2015-16

TDS provisions would attract disallowance u/s 40(a)(ia). 17. For these and any other grounds that may be urged at the time of hearing it is prayed that the order of the CIT(A) may be cancelled and that of the Assessing Officer restored.” 4. Disallowance of deduction claimed U/s 36(1)(vii):- Briefly stated the facts

M/S SYNDICATE BANK,MANIPAL vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE - 1, UDUPI

In the result, appeal of the revenue in ITA No

Bench: Shri Chandra Poojari & Shri Keshav Dubeyassessment Year: 2015-16

iv) Under section 11 of the Banking Companies (Acquisition and Transfer of Undertaking) Act, 1980 provides that "for the purposes of the Income-tax Act, 1961, every corresponding new bank shall be deemed to be Indian company and a company in which public is substantially interested". (v) It is settled principle of law where deeming fiction is created

M/S. BANGALORE PHARMACEUTICAL AND RESEARCH LABORATORY PRIVATE LIMITED,BANGALORE vs. ASSISTANT COMMISSIONER OF INCOME-TAX, CIRCLE-1(1)(2), BANGALORE

In the result, the appeal by the assessee is dismissed

Bench: Shri George George K. & Shri Laxmi Prasad Sahuassessment Year : 2018-19

36(1)(va). Ground No 1 .5 and 6 ( See detailed submission in paragraph 1 of the paperbook ( pages 1 to 9 and Annexures 1,2,3 and 4 and Annexures-10 to 17) 4.a) The return now processed is an incomplete return, permitted to be filed under Section 139D without all the documents required to accompany the returns

M/S VIJAYA BANK ,BANGALORE vs. ADDITIONAL COMMISSIONER OF INCOME TAX LTU , BANGALORE

Accordingly the grounds raised by the revenue is allowed for statistical purposes

Bench: Shri George George K. & Shri Laxmi Prasad Sahum/S. Bank Of Baroda Vs. Addl. Cit, Ltu, (Erstwhile Vijaya Bank) Bmtc Building 7Th Floor, Central Accounts 6Th Block, Koramangala Bengaluru 560095 Dept., 41/2, M.G. Road Bengaluru 560001 Pan – Aaacvo3787 (Appellant) (Respondent) Acit, Circle - 2(1)(1) Vs. M/S. Bank Of Baroda Room No. 561, 5Th Floor (Erstwhile Vijaya Bank) Aayakar Bhavan 7Th Floor, Central Accounts M.K. Road Dept., 41/2, M.G. Road Mumbai 400020 Bengaluru 560001 Pan – Aaacvo3787 (Appellant) (Respondent) Assessee By: Shri Ananthan, Ca& Smt. Lalitha Rameswaran, Ca Revenue By: Shri G. Manoj Kumar, Cit-Dr Date Of Hearing: 29.03.2023 Date Of Pronouncement: 25.04.2023 M/S. Bank Of Baroda

iv) Clause (d) is applicable to Non-banking financial company from AY 2017-18. The Hon’ble Supreme Court in the case of Catholic Syrian Bank (supra) has held that the PBDD allowed under clause (a) of Sec. 36(1)(viia) refers to ‘rural advances’ only. In fact the expression “rural branches” finds place in clause (a) only

ADDL/JOINT COMMISSIONER OF INCOME TAX (LTU) , BANGALORE vs. M/S VIJAYA BANK , BANGALORE

Accordingly the grounds raised by the revenue is allowed for statistical purposes

Bench: Shri George George K. & Shri Laxmi Prasad Sahum/S. Bank Of Baroda Vs. Addl. Cit, Ltu, (Erstwhile Vijaya Bank) Bmtc Building 7Th Floor, Central Accounts 6Th Block, Koramangala Bengaluru 560095 Dept., 41/2, M.G. Road Bengaluru 560001 Pan – Aaacvo3787 (Appellant) (Respondent) Acit, Circle - 2(1)(1) Vs. M/S. Bank Of Baroda Room No. 561, 5Th Floor (Erstwhile Vijaya Bank) Aayakar Bhavan 7Th Floor, Central Accounts M.K. Road Dept., 41/2, M.G. Road Mumbai 400020 Bengaluru 560001 Pan – Aaacvo3787 (Appellant) (Respondent) Assessee By: Shri Ananthan, Ca& Smt. Lalitha Rameswaran, Ca Revenue By: Shri G. Manoj Kumar, Cit-Dr Date Of Hearing: 29.03.2023 Date Of Pronouncement: 25.04.2023 M/S. Bank Of Baroda

iv) Clause (d) is applicable to Non-banking financial company from AY 2017-18. The Hon’ble Supreme Court in the case of Catholic Syrian Bank (supra) has held that the PBDD allowed under clause (a) of Sec. 36(1)(viia) refers to ‘rural advances’ only. In fact the expression “rural branches” finds place in clause (a) only

M/S. CORPORATION BANK,MANGALURU vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE- 2(1), MANGALURU

Bench: Shri George George K & Ms. Padmavathy S & Ita No.1680/Bang/2018 Assessment Year : 2015-16 & 2014-15

section 11 of the ITA No.1109/Bang/2019, 1680/Bang/2018, 164/Pnj/2019 & 235/Pan/2018 Page 28 of 44 Banking Companies (Acquisition and Transfer of Undertaking) Act 1980. (k) Various decisions relied upon by the assessee relate to the period prior to the amendment made by Finance Act 2012. 7.3 Before us, the Ld A.R reiterated that the provisions of sec.115JB will not apply

THE KARNATAKA BANK LTD,MANGALORE vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-2(1), MANGALORE

In the result, the appeal filed by the assessee is treated as allowed and the appeal of the revenue is treated as partly allowed for statistical purposes

Bench: Shri George George K. & Shri B.R. Baskaranassessment Year : 2013-14

36(1)(viia) would apply to non-rural advances also. Accordingly, we direct the AO to delete the disallowance of Rs.192.02 crores. 6. The next issue urged by the assessee relates to disallowance of payments made to VISA International u/s 40(a)(ia) of the Act, which was confirmed by Ld CIT(A). The revenue is also in appeal

M/S. HICAL INFRA PRIVATE LIMITED,BANGALORE vs. DEPUTY COMMISSIONER OF INCOME TAX (OSD), RANGE- 1, BANGALORE

In the result, the appeal by the assessee is allowed

Bench: Shri George George K. & Ms. Padmavathy Sassessment Year : 2016-17

TDS has not been paid in respect of interest expense of Rs. 67,04,528 and hence 30% of the said expenditure amounting to Rs. 20,11,358 is to be disallowed under section 40(a)(ia). As the entire interest expenditure of Rs. 78,11,581 was disallowed under section 36(1)(iii), it was stated that the disallowance

M/S. MOBILY INFOTECH INDIA PRIVATE LIMITED,BANGALORE vs. INCOME TAX OFFICER, WARD-4(1)(3), BANGALORE

In the result, the appeal by the assessee is allowed

Bench: Shri George George K. & Ms. Padmavathy Sassessment Year : 2016-17

TDS has not been paid in respect of interest expense of Rs. 67,04,528 and hence 30% of the said expenditure amounting to Rs. 20,11,358 is to be disallowed under section 40(a)(ia). As the entire interest expenditure of Rs. 78,11,581 was disallowed under section 36(1)(iii), it was stated that the disallowance

JOINT COMMISSIONER OF INCOME TAX,, BANGALORE vs. M/S CANARA BANK, BANGALORE

In the result, the appeal filed by the revenue is dismissed

Bench: Shri Vijay Pal Rao & Shri Inturi Rama Rao

iv) DCIT vs. Indian Bank ITA No.1485 & 1507/Mds/07 [2016(7) TMI 28]. Learned counsel for the assessee submitted that for the purpose of computing AAA of amount of advance outstanding alone is to be considered not fresh advances made during the previous year. ITA Nos.979 & 1035/B/13 .......903/B/16 Canara Bank Page 34 of 59 18.1 On the other hand, ld.CIT

J.C.I.T vs. M/S CANARA BANK,

In the result, the appeal filed by the revenue is dismissed

Bench: Shri Vijay Pal Rao & Shri Inturi Rama Rao

iv) DCIT vs. Indian Bank ITA No.1485 & 1507/Mds/07 [2016(7) TMI 28]. Learned counsel for the assessee submitted that for the purpose of computing AAA of amount of advance outstanding alone is to be considered not fresh advances made during the previous year. ITA Nos.979 & 1035/B/13 .......903/B/16 Canara Bank Page 34 of 59 18.1 On the other hand, ld.CIT

CANARA BANK vs. ADDL.C.I,.T,

In the result, the appeal filed by the revenue is dismissed

Bench: Shri Vijay Pal Rao & Shri Inturi Rama Rao

iv) DCIT vs. Indian Bank ITA No.1485 & 1507/Mds/07 [2016(7) TMI 28]. Learned counsel for the assessee submitted that for the purpose of computing AAA of amount of advance outstanding alone is to be considered not fresh advances made during the previous year. ITA Nos.979 & 1035/B/13 .......903/B/16 Canara Bank Page 34 of 59 18.1 On the other hand, ld.CIT

CANARA BANK,BANGALORE vs. JCIT, BANGALORE

In the result, the appeal filed by the revenue is dismissed

Bench: Shri Vijay Pal Rao & Shri Inturi Rama Rao

iv) DCIT vs. Indian Bank ITA No.1485 & 1507/Mds/07 [2016(7) TMI 28]. Learned counsel for the assessee submitted that for the purpose of computing AAA of amount of advance outstanding alone is to be considered not fresh advances made during the previous year. ITA Nos.979 & 1035/B/13 .......903/B/16 Canara Bank Page 34 of 59 18.1 On the other hand, ld.CIT

CANARA BANK,BANGALORE vs. JCIT, BANGALORE

In the result, the appeal filed by the revenue is dismissed

Bench: Shri Vijay Pal Rao & Shri Inturi Rama Rao

iv) DCIT vs. Indian Bank ITA No.1485 & 1507/Mds/07 [2016(7) TMI 28]. Learned counsel for the assessee submitted that for the purpose of computing AAA of amount of advance outstanding alone is to be considered not fresh advances made during the previous year. ITA Nos.979 & 1035/B/13 .......903/B/16 Canara Bank Page 34 of 59 18.1 On the other hand, ld.CIT

CANARA BANK,BANGALORE vs. JOINT COMMISSIONER OF INCOME TAX, LTU,, BANGALORE

In the result, Revenue’s appeal for Assessment Year 2014-15 is partly allowed for statistical purposes

Bench: Shri Sunil Kumar Yadav & Shri Jason P Boaz

iv) Disallowance of Depreciation on HTM Rs.507,15,29,634 category of investments. v) Appreciation on investments not offered Rs.366,51,41,573 to tax. vi) Unrealised gain on revaluation of forward Rs.77,91,16,260 contracts. vii) Disallowance of depreciation on leased Rs.1,67,500 assets. viii) Disallowance u/s.14A Rs.24,91,38,500 ix) Disallowance u/s.40(a)(ia) – payment

ACIT, HUBLI vs. KARNATAKA VIKAS GRAMEEN BANK, DHARWAD

In the result, the appeal by the assessee is treated as partly allowed for statistical purpose

Bench: Shri N.V Vasudevan & Shri Jason P Boaz

iv) "work" shall have the same meaning as in Explanation III to section 194C; (v) "rent" shall have the same meaning as in clause (i) to the Explanation to section 194-I; (vi ) "royalty" shall have the same meaning as in Explanation 2 to clause (vi) of sub-section (1) of section 9;” 35. Under Section 194A

M/S. LIFE INSURANCE CORPORATION OF INDIA,DAVANGERE vs. THE INCOME TAX OFFICER (TDS) WARD, DAVANGERE

In the result, the appeals filed by the assessee stands allowed for assessment years 2011-12 to 2014-15 on the legal issue and the appeals for assessment years 2015-

Bench: Shri B.R Baskaran & Smt. Beena Pillai

36,482 17,472 707 350 8,814 4,224 68,049 2015-16 40,020 14,400 1,460 588 - - 56,468 2016-17 1,30,588 31,320 666 156 9,116 2,275 1,74,121 Shivamogga: Payment to HP In la Sales Cash Medical Benefit u/s Pvt. Ltd. an MDC Projects Total 192 u s 194J

M/S. LIFE INSURANCE CORPORATION OF INDIA,THIRTHAHALLI vs. THE INCOME TAX OFFICER (TDS) WARD, DAVANGERE

In the result, the appeals filed by the assessee stands allowed for assessment years 2011-12 to 2014-15 on the legal issue and the appeals for assessment years 2015-

Bench: Shri B.R Baskaran & Smt. Beena Pillai

36,482 17,472 707 350 8,814 4,224 68,049 2015-16 40,020 14,400 1,460 588 - - 56,468 2016-17 1,30,588 31,320 666 156 9,116 2,275 1,74,121 Shivamogga: Payment to HP In la Sales Cash Medical Benefit u/s Pvt. Ltd. an MDC Projects Total 192 u s 194J