2007 (5) TMI 173

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....BINDAL, J.- The revenue has approached this Court by filing the present appealagainst order dated 29.11.2005 passed by the Income Tax Appellate Tribunal,Chandigarh Bench "A" Chandigarh (for short "the Tribunal"), in ITANo.798/Chandi/2001 for the assessment year 1998-99 raising the followingsubstantial questions of law : (i) Whether on the facts and the circumstances of the case, the Hon'ble ITA....

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....stion No.2, which we proceed to deal with for final disposal, with the consent of counsel for the parties. 3. The assessee in the present case is engaged in the business of manufacture, trading and export of cotton yarn, woollen hosiery garments. The return for the assessment year in question was filed on November 30, 1998 declaring its income at Rs. 10,03,94,830/-. The same was processed under....

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....iling of revised return. It was claimed that the assessee should be given the benefit of it for calculation of deduction under Section 80HHC of the Act but the claim made by the assessee was not accepted by the Assessing Officer and the interest income was reduced while computing income from business and profession and the same was separately assessed under the head 'Income from Other Sources'. Th....

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....Assessing Officer to exclude 90% of such income. Aggrieved against the order passed by the CIT(A) on this issue, revenue went in appeal before the Tribunal raising following ground of appeal : "The ld. CIT(A) has further erred both in law and on fact of the case in holding that interest income of Rs. 6,33,18,491/- is business income as against income from other sources taken by the Assessing Of....