2024 (3) TMI 1159 - SCH - Income Tax

Delay in filling appeal before SC - Deduction u/s 80-IA - Nature of Interest income - Advances extended to Employees - interest on the bonds issued by GRIDCO in lieu of unpaid energy bills - Nexus with business activity - Disallowing deduction towards power profit under Section 80-IA (4)(iv) - As decided by HC 2022 (3) TMI 539 - ORISSA HIGH COURT on the netting principle, since there is no other activity of the Assessee except power generation, the AO, the CIT(A) and the ITAT, were in error in disallowing the aforementioned sum as deduction under 80-IA of the IT Act. There is merit in the contention of the Assessee that the interest received from the bonds issued by GRIDCO have a direct nexus with its essential business activity and therefore, was income derived from it, thus, making it eligible for such deduction HELD THAT - There is a gross delay of 608 days in filing the special leave petition. The reasons assigned for seeking condonation of delay are not acceptable to us. Hence, the application seeking condonation of delay is dismissed. Consequently, the special leave petition is dismissed on the ground of delay keeping open the question of law, if any, which arises in this matter.

Summary

The Supreme Court of India dismissed a special leave petition due to a gross delay of 608 days in filing it. The application seeking condonation of delay was also dismissed. The court kept open the question of law arising in the matter.