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TMI Blog2010 (3) TMI 1169X X X X Extracts X X X X X X X X Extracts X X X X ..... the receipt of interest issue was correlated to the business and profession. 2) For these and other grounds that may be urged at the time of hearing the decision of learned CIT(A) may be set aside and that of the Assessing Officer restored. 3. The assessee is a company. It is engaged in the business of oil and gas exploration. During the previous year, the assessee earned interest of ₹ 64,66,069/- on fixed deposit with Barclays Bank. The Assessing Officer considered interest income on fixed deposit placed with Barclays Bank as income from other sources instead of business income as claimed by the assessee. The assessee explained that it had secured a loan from Barclays Bank of US$ 10 million for development of PY-3 Oil Field (C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... relied on the order of the Assessing Officer. Learned counsel for the assessee submitted that the revenue has not filed any appeal before the ITAT against the order of learned CIT(A) for A.Y. 1999- 2000 to 2002-03 and has accepted the said orders of learned CIT(A). He placed reliance on the decision of Hon'ble Delhi High court in the case of CIT Vs. Dalmia Promoters (P) Ltd, 281 ITR 346 (Del); wherein it was held that where interest income on fixed deposits made by an assessee (who was a property developer) from the amounts received by a co-developer, which was earlier assessed as business income in the earlier assessment year cannot be changed in an later assessment year, when there are no material change in the facts. The Court applie ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appellant. Following the order of ITAT, Delhi in the case of Jay Bharat Maruti Ltd. (supra), it is held that interest income is assessable under the head income from business or profession and not under the income from other sources . The Assessing Officer is directed to treat the interest income as business income allow the relief accordingly. 7. The facts in the present assessment year are identical. The revenue has accepted the order of learned CIT(A) for A.Y. 1999-2000 and other orders for A.Ys. 2000-01 to 2002-03 and has not filed any appeal before the ITAT. As held by the Hon'ble Delhi High Court on the principle of consistency the order of learned CIT(A) has to be upheld. We are also of the view that there is a direct ne ..... X X X X Extracts X X X X X X X X Extracts X X X X
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