HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
INCOME TAX APPEAL NO. 3224 OF 2009
The Commissioner of Income Tax.
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CORAM : V.C. DAGA AND R.M.SAVANT, JJ.
DATED : 18th October 2010.
Heard learned counsel for the appellant Revenue and learned senior counsel for the respondent.
2. The question sought to be raised in this appeal relates to the deduction under section 80O of the Income Tax Act, 1961 (“Act” for short). The Tribunal has considered this question taking into account the calculations made by the Assessing Officer; wherein he has determined the deduction under section 80O in the sum of Rs.1,29,41,830/ being the 50% of the income so received or brought into India. This figure is not disputed by the learned counsel for the Revenue. The only question sought to be canvassed is that out of these deductions the admissible deduction under section 80-O ought to be limited to the extent of Rs.69,70,127/ which represents business income. In other words, the income from interest and dividend shall not form part of the gross total income as defined under section 80B(5) of the Act. The submission is
misconceived. If one turns to the definition of the “gross total income“ under section 80B5, it reads as under:
“80B(5) “gross total income” means the total income computed in accordance with the provisions of this Act, before making any deduction under this Chapter.”
3. Considering the definition of the gross total income, it is difficult to hold that the interest income and the dividend income would not form part of the gross total income computed in accordance with the provisions of the Act. The view taken by the Tribunal, in our considered view, is in consonance with what is stated herein. No substantial question of law is involved. In the result, appeal is dismissed in limine with no order as to cots.
(R.M.SAVANT, J.) (V.C.DAGA J.)