ITAT Mumbai in AY 2010-11: Extensive Ruling on Banking Taxation Issues

State Bank of India Vs ACIT (ITAT Mumbai) The Mumbai Bench of the Income Tax Appellate Tribunal decided cross-appeals filed by a public sector bank and the Revenue for Assessment Year 2010-11. The case involved a large number of recurring banking-taxation issues including pension provisions, depreciation on securities, bad debts, section 14A disallowance, taxation of NPAs, deduction under section 36(1)(viia), foreign branch income, employee benefit provisions, broken period interest, deferred guarantee commission, and interest under section 244A. The Tribunal extensively examined the principle...