Rajasthan High Court - Jaipur
Commissioner Of Income Tax vs Bhawal Synthetics (India) on 3 December, 2003
Equivalent citations: (2004)188CTR(RAJ)49
JUDGMENT
1. Heard the learned counsel for the appellant.
2. We are satisfied that the following substantial questions of law do arise for consideration in this appeal under Section 260A of the IT Act against the order of the Tribunal dt. 28th March, 2003 :
"1. Whether, in the facts and circumstances of the case, the interest earned on fixed deposit receipts used by the assessee as borrowing margin money for funds for setting up the industry can be termed as inextricably linked with the process of setting up of industry so as to be considered as capital receipt and not revenue income?
2. Whether, in the facts and circumstances of the case, the Tribunal was justified in law in holding that the enquiry conducted by the AO before assessment order was passed was proper and adequate enquiry so as not to render the assessment order erroneous and prejudicial to the interest of the Revenue, as held by the CIT in his order under Section 263 of the IT Act?"
3. Admit. Issue notice.