2025 (2) TMI 707 - HC - Income Tax

Section 115JA Applicability to Banking company - HELD THAT - The issue raised in the appeal is covered by the decision of this court in the case of Union Bank of India 2019 (5) TMI 355 - BOMBAY HIGH COURT against which the leave is granted by the Supreme Court 2020 (3) TMI 58 - SC ORDER . There is no dispute that the issue is covered by the decision of this Court in the case of Union Bank of India (supra). Therefore looked from any angle the appeal filed by the Revenue is not maintainable. Book profit has been computed u/s 115JA in the assessment order. In the grounds of appeal before this Court there is a reference of Section 115JA/115JB which in our view is incorrect since the section which was involved in the assessment order is 115JA and not 115JB.

Summary

The Bombay High Court heard an appeal filed by the Appellant-Revenue challenging an order of the Income Tax Appellate Tribunal for the assessment year 1999-2000. The main issue raised was whether the provisions of Section 115JA of the Income Tax Act, 1961 applied to the Respondent-Bank. The Court found that since the tax on the book profit under Section 115JA was less than Rs. 2 crore, the appeal was not maintainable. Additionally, the Court noted that the issue raised in the appeal was already covered by a previous decision of the court in the case of Commissioner of Income Tax-LTU vs. Union Bank of India. Therefore, the appeal was dismissed.