2016 (10) TMI 701

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....tice Akil Kureshi ) 1. Leave to amend the question of law suggested. 2. The issues involved are identical in both the tax appeals. We may record facts from Tax Appeal No. 717 of 2016. 3. For the assessment year 2002-03, the Revenue is in appeal against the judgement of the Income Tax Appellate Tribunal dated 28.04.2016. Following question is suggested for our consideration. "Whet....

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....ssessing Officer put the assessee to notice, in response to which, the assessee contended as under: "6.1 The appellant company submits that the funds borrowed from HDFC Bank were utilized for the purpose of business only. From the object clause of MOA of the Appellant company, it has been clearly stated that since its incorporation, the appellant company has been engaged into the business....

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....h included the purpose of carrying on business of financing and leasing, as also for purchase of property and financing similar business undertakings. For the purpose of such objects, the company could acquire machineries, plants, stock in trade, trademarks and such other movable and immovable properties of all description. The Tribunal held that the advance was for business expediency. The Tribun....

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....sessee has shown Rs. 63,43,92,800/- as sale of building & forfeiture receipts. 19. Our aforementioned factual observations clearly show that the revenue authorities have grossly erred in not accepting assessee's contention that is one of the businesses in a real estate. The Tribunal in the first round of litigation has directed the assessee to establish direct nexus between the advanc....