Case Law Details
Pr. CIT Vs M/s. M. J. Exports Pvt. Ltd. (Bombay High Court)
HC held that impugned order of the Tribunal after recording that the issue stands covered by various decisions of the Supreme Court and the various High Courts cases observes ‘admittedly, there are contrary decisions where it is held that interest paid on delayed payments cannot be allowed as deduction in the assessment proceedings.’ The above statement in the impugned order led us to direct the counsel appearing for the parties to examine the law on this issue and to bring to our attention any decision contrary to the view taken by the Supreme Court in Mahalaxmi Sugar Mills (supra) and other High Courts decisions. We are now informed by Counsel for both sides that there are no decisions contrary to the view taken by the Hon’ble Supreme Court in Mahalaxmi Sugar Mills (supra) and the various High Court decisions referred to in the impugned order of the Tribunal. All this effort and time would have been saved if the Tribunal had made specific reference to contrary decisions or not stated so in the absence of referring to the citations. Therefore, we would request the Tribunal to be specific about the decisions and make a mention of the citation in the order and not make general observations as in this case.
FULL TEXT OF THE HIGH COURT ORDER / JUDGMENT
On 20 August 2019, we passed the following order :-
‘This Appeal under Section 260-A of the Income Tax Act, 1961 (the Act), challenges the order dated 17th May, 2016 passed by the Income Tax Appellate Tribunal (the Tribunal). The impugned order dated 17th May, 2016 is in respect of Assessment Year 2007-08.
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