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2012 (12) TMI 984 - HC - Income TaxSet off of interest income from share application money against public issue expenses - Tribunal allowed claim - Held that:- Tribunal had in the impugned judgment allowed the benefit of set off of interest income from share application money as followed the decision of this Court in Panama Petrochem Ltd. case [2011 (7) TMI 1110 - GUJARAT HIGH COURT] wherein held the assessee was statutorily required to keep share application money in the separate account till the allotment of shares was completed. Interest earned on such separately kept amount was adjusted towards expenditure for raising share capital. We are therefore, of the opinion that interest earned was inextricably linked with requirement of company to raise share capital and was thus adjustable towards the expenditures involved for the share issue - Decided against revenue Disallowance u/s.35D - Tribunal remanded the issue for fresh consideration - Held that:- Revenue rightly pointed out that the Tribunal remanded the issue for fresh consideration erroneously relying on a remand order passed in Mandvi Mercantile Co Op Bank Ltd. case [2005 (12) TMI 554 - GUJARAT HIGH COURT] for the assessment year 2001-02. She pointed out that such issue had reached the Tribunal after a round of remand and full consideration by the Assessing Officer and CIT(Appeals). The Tribunal was, therefore, required to examine the issue on merits and give its decision. Such issue, therefore, shall have to be placed back before the Tribunal for consideration on merits. Disallowance of deduction u/s 80IA on account of Exchange rate fluctuation, Excise credit, Kasar/vatav and Excess provision written back of bonus - Held that:- Tribunal has granted certain benefits as claimed by the assessee for deduction under section 80IA of the Act without full discussion. Tribunal has not given any specific verdict on some of the issues raised at the hands of the assessee in rectification application. We are sure, the Tribunal will consider the same and take steps on such application irrespective of the order in this appeal. Disallowance out of shares and debentures issue expenses - Held that:- Tribunal has remanded the issue once gain relying on a remand in the case of this very assessee for another year. Here also, the issue had been discussed and decided by the Assessing Officer and the CIT(Appeals) on merits. The Tribunal, therefore, would have to judge issue on merits rather than remanding the issue all over again.
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