2018 (2) TMI 1791 - HC - Income Tax

Appeal admitted on the following substantial questions of law 1) Whether on the facts and in the circumstances of the case and in law, the Tribunal ought to have held that interest and dividend income forms part of the core activity and cannot be separately assessed to tax as income from other sources? 2) Whether on the facts and in the circumstances of the case and in law, the Tribunal ought to have held that administrative expenses of ₹ 6,36,13,111/should be allowed as deduction while computing the interest and dividend income? 3) Whether on the facts and in the circumstances of the case and in law, the Tribunal ought to have held that profits from sale of ships and other related assets should qualify as total turnover from core activity for the purposes of proviso to Section 115VI(1) of the Income Tax Act, 1961?

Summary

The Bombay High Court heard an appeal related to the Assessment Year 2006-07. The appeal raised substantial questions of law regarding the treatment of interest and dividend income, deduction of administrative expenses, and qualification of profits from asset sales as turnover. The Court directed the Registry to communicate the order to the Tribunal for further proceedings.