KRISHNAGIRI ESTATE Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) This appeal is filed under Section 34(7) of the Karnataka Agricultural Income-tax Act, 1957 (hereinafter referred to as "the Act") seeking rectification of mistake in the Tribunal's order and judgment dated 9th April, 2012 in STA No. 206 of 2010 related to the assessment year 1995-1996 i.e., accounting year 1994-1995. This Tribunal in its judgment had disposed of STA Nos. 206 and 207 of 2010 by a common judgment dated 9th April, 2012. The appellant has sought for rectification under Section 34(7) of the Act, urging that the appellant/applicant is eligible for deduction of interest under Section 5(1)(j) of the Act amounting to Rs. 4,82,998.97. It is this amount, the applicant had claimed as deduction towards interest debited to the bank account under Section 5(1)(j) of the Act relating to M/s. Krishnagiri Estate. The appellant urges that the Tribunal has mistakenly proceeded on the basis that the applicant's claim of deduction was pertaining to the interest debited to M/s. Ramagiri Estate. It is the submission of the applicant that the amount of Rs. 4,82,998.97 is actually the interest liability payable to the bank related to the applicant's firm namely M/s. Krishnagiri Estate. In this regard, the applicant submits that the disallowance is only with respect to M/s. Ramagiri Estate and the subject-matter of disallowance is the amount relating to the applicant-firm which has to be allowed as per the principle laid down by our Hon'ble High Court in CRP No. 812 of 1992, dated 18th September, 1996 rendered in the case of M/s. Siddeshwara Estate.

(2.) Heard the learned Counsel for the appellant and the State Representative.

(3.) Perused the records of the lower authorities. The only point which arises for our consideration is: