2014 (12) TMI 189

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....ollowing substantial question of law :- "Whether under the facts and circumstances of the case, the Income Tax Appellate Tribunal was right in holding that the income of the assessee from letting out its warehouse is chargeable under the head 'Income from Business' and not under the head 'Income from House Property'" 2. The brief facts of the case, as could be culled out from the pleadings and other documents is as under :- The assessee is engaged in the business of warehousing, handling and transport business. The assessee filed return of income for the assessment years, viz., 2004-2005, 2005-2006, 2007-2008 and 2009-2010 showing the income earned from letting out of building and godown as income from business. The....

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....nt itself has accepted in the past that the income from warehousing was asssessable as income from business. The appellant has cited several judgments in its favour. 3. Aggrieved by the said order of the CIT (Appeals), the Department preferred appeal before the Tribunal. The Appellate Tribunal concurred with the findings of the CIT (Appeals) and more specifically in para-9 of its order, went into the Objects Clauses of the company and came to hold that the primary source of income of the assessee was letting out godowns and warehouses to the manufacturers, traders and other companies carrying on warehousing business. The Tribunal also distinguished the judgment in Keyaram Hotels (P) Ltd. - Vs  ACIT (173 Taxman 262 (Mad)) on facts. T....

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....e CIT (Appeals) as well as the Tribunal, it is evident that the CIT (Appeals) and the Tribunal, on facts, have clearly come to the conclusion that it is a case of business income and not income from house property. This Court also finds that the Tribunal was justified in distinguishing the case of the Bombay High Court in Nutan Warehousing Company P. Ltd. - Vs  DCIT (326 ITR 94 (Bom)) with regard to the nature of business conducted by the assessee in that case in relation to the nature of business conducted by the assessee in the present case. In the instant case, we find that the CIT (Appeals) as well as the Tribunal have not only gone into the Object Clauses of the Memorandum of Association of the Company, but also on individual aspe....