IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE K.SURENDRA MOHAN THURSDAY, THE 19TH FEBRUARY 2009 / 30TH MAGHA 1930 ITA.No. 133 of 2008() --------------------- ITA.294/COCH/2000 of I.T.A.TRIBUNAL,COCHIN BENCH .................... APPELLANT/APPELLANT: --------------------------------------- THE COMMISSIONER OF INCOME -TAX, THIRUVANANTHAPURAM. BY ADV. MR.P.K.R.MENON,SR.COUNSEL, GOI(TAXES) MR.GEORGE K.GEORGE RESPONDENT(S): RESPONDENT: ---------------------------------------------------- KERALA STATE INDUSTRIAL DEVELOPMENT CORPORATION LIMITED, THIRUVANANTHAPURAM. BY MR.M.PATHROSE MATTHAI, SENIOR ADVOCATE, MR.SAJI VARGHESE, SMT.MARIAM MATHAI. THIS INCOME TAX APPEAL HAVING BEEN FINALLY HEARD ON 19/02/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: Kss C.N.RAMACHANDRAN NAIR & K.SURENDRA MOHAN, JJ. ------------------------------------------------------------------------------------ I.T.A. NO: 133 OF 2008 ----------------------------------------------------------------------------------- Dated this the 19th February, 2009. JUDGMENT RAMACHANDRAN NAIR, J. The respondent assessee is a Government of Kerala undertaking engaged in industrial financing. The revenue has filed appeal against the order of the Tribunal for the assessment year 1997-98 raising three questions. When the matter came up for admission this Court felt that only the third question arises for consideration because question Nos: 1 and 2 raised in the appeal are covered by Division Bench judgment of this Court in assessee's own case in ITA 32/2003. 2. We have heard counsel for the appellant and counsel for the assessee on the third question. We do not find any ground to interfere with the order of the Tribunal because the Tribunal has only confirmed the order of the first appellate authority holding that assessee is entitled to follow the consistent stand taken by it that 92.15% of the income is attributable to long term investments. The department has no case that there is any escapement of income on account of apportionment of 92.15% attributable to long ITA 133/2008 2 term investments. Even if the apportionment is not exactly correct, at the maximum it may affect quantum deductions. We do not find any question of law arising in a matter where the issue is only correctness of the apportionment of income from long term investments. We therefore dismiss the appeal filed by the revenue. C.N. RAMACHANDRAN NAIR Judge K. SURENDRA MOHAN Judge jj K.K.DENESAN & V. RAMKUMAR, JJ. ---------------------------------------------------- M.F.A.NO: ----------------------------------------------------- JUDGMENT Dated: