2015 (8) TMI 474 - SCH - Income Tax

Claim of expenditure u/s 37 - Penalty imposed by the Reserve Bank of India for committing violation of provisions of the Reserve Bank of India Act, 1934, and the Banking Regulation Act, 1949 - claimed as business expenditure by the respondent-bank - Held that - Having regard to the pettiness of this amount, we are not inclined to consider the issue on the merits. It is more so when learned counsel for the respondent has pointed out that against a similar kind of judgment passed in CIT v. Catholic Syrian Bank Ltd. the same was dismissed by this court. - Decision of HC in 2002 (11) TMI 17 - KERALA High Court sustained - Leaving the question of law open, the appeals are dismissed.

Summary

The Supreme Court dismissed the appeal regarding a penalty imposed by the Reserve Bank of India for violating banking laws, as the amount was considered insignificant and had already been dealt with in a previous case involving Catholic Syrian Bank Ltd.