(Per : HONOURABLE MR.JUSTICE V. M. SAHAI) Learned Senior counsel appearing for the appellant has placed before us the order dated 10.11.2006 passed by the Division Bench in Tax Appeal No.742 of 2006 which reads as under :-
"Heard learned counsel for the appellant.
The appeal is admitted in terms of the following question:-
"Whether the Appellate Tribunal has substantially erred in law in directing the Assessing Officer to decide the issue regarding net lease rental income (Rs 40,93,562/-) and net interest income (Rs. 8,89,60,523/-) for reducing 90% of the same to arrive at profit of the business for deduction u/s 80HHC of the Income-tax?"
Issue notice to the other side. Paper book be filed within 3 months.
List the appeal for final hearing after 3 months."
Upon hearing the learned Senior counsel for the appellant, this appeal is also admitted. We formulate the following substantial questions of law which arises in this appeal as under :-
"(i) Whether in the facts and circumstances of the case, the Income Tax Appellate Tribunal was right in law in holding that for the purpose of deduction under Section 80 HHC of the Act, gross and not net, interest is required to be excluded while computing business income ?
(ii) Whether in the facts and circumstances of the case, the Income Tax Appellate Tribunal was right in law in holding that the appellant had failed to establish nexus between interest income earned and interest expenditure incurred for earning of the said income ?"
Issue notice to the other side. Paper book be filed within 3 months. Connected with Tax Appeal No.742 of 2006.
Sd/-
[V.
M. SAHAI, J.] Sd/-
[N.
V. ANJARIA, J.] Savariya Top