2011 (10) TMI 638

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.... S. Swaminathan, CA For theRespondent: Shri Anirudh Rai, IRS, CIT-DR O R D E R PER Dr. O.K. NARAYANAN, VICE-PRESIDENT There are two appeals; one is filed by the assessee and the other one is filed by the Revenue. The relevant assessment year is 2001-02. These appeals are directed against the order of the Commissioner of Income-tax (Appeals)-III at Chennai dated 8.11.2010 and arise out ....

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....shall be governed by the normal provision of the Act. The same view has been adopted by the ITAT, Hyderabad in the case of Andhra Bank vs. DCIT in their order dated 11.4.2008 passed in ITA Nos.380 & 381/Hyd/2006. In these circumstances, we find that the view taken by the Commissioner of Income-tax (Appeals) is justified in law. The Revenue fails.   5. The second issue raised by the Reve....

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....date of redemption like bank deposits. A fixed bank deposit can be redeemed even before the maturity date and the depositor may get a portion of the interest accrued on the deposit till the date of surrender. In such cases, the interest is generated on accrual basis. But in the case of a Government security, it is not possible to encash it prior to the due date. A holder of the security may be abl....

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.... appeal filed by the Revenue fails. 7. The only ground in the appeal filed by the assessee-bank is that the Commissioner of Income-tax (Appeals) has erred in upholding the jurisdiction of the Assessing Officer to reopen the assessment under sec.147 of Income-tax Act, 1961. In first appeal, the Commissioner of Income-tax (Appeals) has upheld the income escaping assessment but decided the issue i....