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TMI Blog2015 (1) TMI 423X X X X Extracts X X X X X X X X Extracts X X X X ..... this Court has framed the following substantial questions of law: Tax Appeal No. 426/2007 (1) Whether on the facts and in the circumstances of the case, the Tribunal was right in disallowing the interest of Rs. 26,39,697/- treating the amount borrowed for the purpose of brining the assets into existence for the purpose of establishment of plants for manufacturing ONCB,PNCB, ONT and PNT ? (2) Whether extension of the plant is for extension of existing business ? Tax Appeal No. 427/2007 (1) Whether on the facts and in the circumstances of the case, the Tribunal was right in disallowing the interest of Rs. 7,75,000/- treating the amount borrowed for the purpose of brining the asset ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... order dated 12th May, 2006 passed in ITA No. 735/Ahd/1999, which was carried by way of appeal before this Court which is reported in [2009] 313 ITR 244 (Guj) decided on August 22, 2008, in the case of Gujarat State Fertilizer And Chemicals Ltd. v. Assistant Commissioner of Income-Tax, wherein, the issue is now decided in favour of the assessee. "3. Mr.J.P.Shah, learned counsel appearing for the petitioner has submitted that the issue is squarely concluded by the decision of the Hon'ble Supreme Court in the case of Deputy Commissioner of Income-tax Vs. Core Health Care Ltd., reported in (2008) 298 ITR 194 (SC) = 2008-TIOL-17-SC-IT. He had invited the Court ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t that the capital borrowed was used for the purpose of business and whether it is for the capital purpose or revenue purpose is immaterial while allowing deduction under Section 36(1)(iii) of the Act, the appeal of the appellant is required to be allowed. 5. The said matter was carried to the Hon'ble Supreme Court and the SLP was dismissed. In that view of the matter, the issue is concluded and no further reasonings are required to be assigned since the Tribunal has dismissed the appeal on relying the decision in the case of GSFC. As the facts are similar and identical and as we have relied on the decision of the Apex Court which has reversed the judgment on which the Tribunal had relied, we do not think that further elaborate reason or d ..... X X X X Extracts X X X X X X X X Extracts X X X X
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