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TMI Blog2015 (4) TMI 1251X X X X Extracts X X X X X X X X Extracts X X X X ..... 15) of the Income Tax Act on gross basis. This ground is noted as emerging from the revenue's appeal and for the assessment year 2001-02 in Income Tax Appeal No.954/2005. 3. Having heard both sides, we find that the appeal cannot be admitted on all the questions of law proposed and suggested as substantial questions of law. These questions read as follows:- (1) Whether on the facts and circumstances of the case and in law, the ITAT was justified in holding that interest received by the assessee, out of funds placed with its HO and other overseas branches, is not taxable in India ? (2) Whether on the facts and circumstances of the case and in law, the ITAT was justified in holding that interest payable by the Indian branch / permane ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erest free funds available with it and the investment made in tax free bonds ? (6) Whether on the facts and circumstances of the case and in law, the ITAT was right in deciding the case on merits and setting aside the matter to the assessing officer on the issue of applicability of provisions of section 115JA to foreign companies even though the provisions of section 115JA clearly state that a "company", which includes both Indian as well as foreign companies, has to pay tax as per the provisions of section 115JA if the tax payable by it as determined as per the provisions of section 115JA if the tax payable by it as determined as per provisions of the Act is less than minimum prescribed in section 115JA ? 4. In so far as question Nos.1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessing officer then, so long as there is no substantial prejudice to the interest of the revenue, these appeals need not been taken up periodically but can wait final outcome till some 8 or 9 appeals and for successive assessment years are lodged and registered. The Tribunal then can decide them and possibly by a common order. It is on such understanding of parties, their agreement and consent that the Tribunal keeps these appeals pending and that is how we have unfortunately and with great pain and anguish used the word "pile-up". When they are eventually taken up for decision, naturally by passage of time, it is not possible for the representatives of both sides to recite the factual background and matters by furnishing the precis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ances of this ground are similar to ground no.4 for assessment year 1998-99. Following the view taken hereinabove, we hold that the exemption be granted u/s 10(15) on gross basis. However disallowance u/s 14A is sustainable. No disallowance can be made u/s 14A in respect of interest expenditure because of the interest free funds exceeding the amount invested in the tax free bonds. However the A.O. is directed to compute the disallowance u/s 14A in respect of administrative and other expenses." 7. We really fail to understand as to any finding and stated to be factual and rendered for which year has been applied and followed for the latter years. If by settled principles and sheer common sense latest must follow the former or earlier than w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... owed. That is a better way of deciding cases rather than waiting for more appeals to be filed and after the assessing officer and the first appellate authority continue to either err or fail to correct themselves. Therefore, we have found that there is absolutely no reason given for consolidation of these appeals and for decision by a common order. When we invited the attention of particularly Mr.Gopal, appearing on behalf of the assessee to page 68 and the opening paragraph in the Tribunal's order, he could not tell us as to how the batch of 9 appeals involving assessment years 1998-99 to 2003-04 could be said to be involving the same issues. If they are consolidated and if both the revenue and the assessee are raising the same questio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... orders as may be necessary for the ends of justice or to prevent abuse of the process of the Court. Consolidation of suits is ordered for meeting the ends of justice as it saves the parties from multiplicity of proceedings, delay and expenses. Complete or even substantial and sufficient similarity of the issues arising for decision in two suits enables the two suits being consolidated for trial and decision. The parties are relieved of the need of adducing the same or similar documentary and oral evidence twice over in the two suits at two different trials. The evidence having been recorded, common arguments need be addressed followed by one common judgment. However, as the suits are two, the Court may, based on the common judgment, draw tw ..... X X X X Extracts X X X X X X X X Extracts X X X X
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