COMMISSIONER OF INCOME TAX Vs. KOTAK SECURITES LTD

JUDGEMENT

(1.) THIS appeal by the Revenue under Section 260A of the Income Tax Act, 1961, arises from a decision of the Income Tax Appellate Tribunal dated 16 July 2010. The Assessment Year to which the appeal relates is Assessment Year 2002-03. The following questions of law have been raised by the Revenue:

(2.) AS regards question (i), the Tribunal has in paragraph 5 of its decision, followed its earlier decision in the case of the assessee for Assessment Year 2005-06. That decision of the Tribunal dated 26 August 2008 for Assessment Year 2005-06 was challenged before this Court in Commissioner of Income Tax vs. Kotak Securities Ltd. (2012) 340 ITR 333 (Bom). In the judgment of this Court dated 21 October 2011, the Court noted that of the six questions of law raised by the Revenue in the appeal, the Revenue did not press the first five questions on the ground that they were covered against the Revenue by a decision of the Supreme Court in Techno Shares and Stocks Ltd. vs. CIT. (2010) 323 ITR 397 (SC). The admitted position, therefore, is that for Assessment Year 2005-06, the decision of the Tribunal dated 26 August 2008 has attained finality. The decision of the Tribunal, a copy of which is produced in the record, would indicate that in that case as well, the issue related to inter alia a membership card of the Bombay Stock Exchange purchased by the assessee during the year 1995-96. The Revenue having accepted the decision of the Tribunal for Assessment Year 1995-96, the first question will not raise any substantial question of law.

(3.) AS regards question (iii), Counsel appearing on behalf of the Revenue and Counsel appearing on behalf of the Assessee state that the issue is covered in favour of the assessee by a decision of the Division Bench of this Court dated 28 February 2012 in Commissioner of Income Tax, Central-II, Mumbai vs. Sheyas S. Morakhia. Income Tax Appeal 89 of 2011 decided on 28 February 2012. Consequently, the third question will not raise any substantial question of law.