9911796707
TMI Blog2014 (3) TMI 614X X X X Extracts X X X X X X X X Extracts X X X X ..... esent appeal has been preferred by the assessee challenging the impugned order dated 26th August 2011, passed by the learned Commissioner (Appeals) XXII, Mumbai, for the quantum of assessment passed under section 143(3) of the Income Tax Act, 1961 (for short the Act ) for the assessment year 2006 07. 2. Since both these appeals pertain to the same assessee involving common issues arising out of identical set of facts and circumstances, therefore, as a matter of convenience, these appeals were heard together and are being disposed of by way of this consolidated order. However, in order to understand the implication, it would be necessary to take note of the facts of one appeal. We are, accordingly, narrating the facts, as they appear in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... principles of mutuality and the same is taxable under section 56 i.e., under the head income from other sources . 4. The learned Commissioner (Appeals) too has confirmed the said addition after observing and holding as under: I have considered the facts of the case, perused the assessment order and submissions made by the appellant and also discussed the case with the A/R of the appellant. In this case, the A.O. treated interest income as taxable u/s 56 of the I.T. Act under the head Income from other sources which was claimed by the appellant as non taxable income is also governed by the principles of mutuality since the surplus fund of the Gymkhana is kept with Bank and Govt. companies as matter of precaution and not in the pri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is issue stands squarely covered by the decision of the Hon'ble Supreme Court in Bangalore Club v/s CIT, [2013] 350 ITR 509 (SC). The assessee s representative also admitted that the issue raised in the ground of appeal is covered by the decision of the Hon'ble Supreme Court. 6. After hearing both the parties and considering the relevant findings of the Assessing Officer as well as the learned Commissioner (Appeals) and the decision of the Hon'ble Supreme Court in Bangalore Club (supra), we find that the issue of interest from bank in the case of Club governed by the principles of mutuality stands squarely covered by decision of the Hon'ble Supreme Court, wherein it was held that the amount of interest earned by the clu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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