COMMISSIONER OF INCOME TAX Vs. APEX AGENCIES

JUDGEMENT

(1.) THIS Tax Case (Appeal) is filed by the Revenue as against the order of the Income Tax Appellate Tribunal raising the following substantial question of law:

(2.) THE assessment in this case relates to the assessment year 2005 -06. The appellant is a trader in batteries, torch lights and bulbs etc. For the assessment year in question, the assessee filed returns admitting income of Rs. 19,27,960/ -. While completing the scrutiny assessment, the Assessing Officer made an addition of Rs. 12,86,106/ - disallowing the interest expenditure as not relating to the assessee's business. Aggrieved by the said order of the Assessing Officer, the assessee preferred an appeal before the Commissioner of Income Tax (Appeals), who after following the assessee's own case in respect of the previous assessment years, confirmed the order of assessment. Aggrieved by the said order, the assessee once again went before the Income Tax Appellate Tribunal.

(3.) AGGRIEVED by this order of the Tribunal, the Revenue is before this Court.