2017 (9) TMI 187

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....ER (PER : HONOURABLE MR.JUSTICE AKIL KURESHI) 1. Revenue is in appeal against the judgment of the Income Tax Appellate Tribunal dated 22.03.2017 raising following question for our consideration: "Whether the ITAT is justified in law and on facts in quashing and setting aside the order passed by the AO as per provisions of Section 145 of the Income Tax Act, adding back to the total i....

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....on'ble Gujarat High Court held that assessee was correct in not charging interest on NPA. The Hon'ble Gujarat High Court agreed with the view taken by the Hon'ble Delhi High Court in the CIT Vs. Vasisth Chay Vyapar Ltd., 330 ITR 440 wherein it was held that interest income could not be said to have accrued to the assessee having regard to provisions of section 45Q of the RBI and pruden....

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..... The situation being identical, the issue is covered by the decision of this Court in case of Shri Mahila Sewa Sahakari Bank Ltd. (supra). Learned counsel for the Revenue however submitted that the Supreme Court in case of Southern Technologies Ltd. v. Joint Commissioner of IncomeTax reported in [2010] 320 ITR 577 (SC) has made a clear distinction with respect to the RBI directions holding that t....