2008 (8) TMI 1042

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....een Prakash, Rahul Kaushik, Ms. Shilpa Singh, K. C. Pandey, Sunil Roy, B. V. Balaram Das and B. Krishna Prasad, Advocates, with him) For the Respondent : N. Venkataraman, Senior Advocate, ( V. N. Raghupathy, J. D. Mistry, B. D. Damodar, Rustom B. Hathikhanawala, Samir Parekh, Sumil Goel and Miss Divya Sinha, Advocates, for M/s. Parekh & Co., with him) ORDER The assessment years in questio....

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.... B. Whether the High Court was right in holding that the interest received by the Assessee Bank, at the time of sale of securities held by it, it was assessable to tax under the head 'interest on securities' and not under the head 'income from Business'? C. Whether the High Court was right in holding that interest paid for the broken period in respect of securities bought which securiti....

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....expenses which remained after apportionment to interest on securities be added back before allowing the deduction under section 44C of the Income Tax Act, 1961? G. Whether the High Court was right in holding that restrictions under Section 44C of the Income Tax Act, 1961 were applicable only to business income and not to interest on securities?" The High Court in its impugned judgment ....

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....of three Hon'ble Judges. The High Court has distinguished the judgment of this Court in Vijaya Bank Ltd. v. CIT, 187 ITR 541 (SC). For the reasons stated in Civil Appeal No. 1549 of 2006 which has been disposed of by us by our order of even date, the aforesaid question Nos. C & D are answered in the affirmative i.e. in favour of the assessee and against the revenue. Insofar as question No. B....