1 IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR -------------------------------------------------------- 1. INCOME TAX APPEAL No. 27 of 2005 C I T UDAIPUR V/S THE BANK OF RAJASTHAN LTD 2. INCOME TAX APPEAL No. 28 of 2005 C I T UDAIPUR V/S THE BANK OF RAJASTHAN LTD UDAIPUR 3. INCOME TAX APPEAL No. 29 of 2005 C I T UDAIPUR V/S THE BANK OF RAJASTHAN LTD Mr. KK BISSA, for the appellant / petitioner Mr. RAMIT MEHTA & Mr. AVINASH ACHARYA for Mr. LR MEHTA, for the respondent Date of Order : 28.3.2008 HON'BLE SHRI N P GUPTA,J. HON'BLE SHRI DEO NARAYAN THANVI,J. ORDER ----- Controversy involved in these appeals is now covered by a recent judgment of Hon'ble the Supreme Court dt. 19.7.2007 rendered in the case of Commissioner of Income Tax Vs. Corporation Bank & other connected appeals reported in 295 ITR 193 whereby the judgments rendered by Bombay High Court in the case reported in 259 ITR-295 and 312 have been affirmed, and it has been held that interest earned by the assessee-banks on dated Government securities 2 is not liable to tax by pointing out that there is a basic difference between loans and advances on the one hand and investments/securities on the other, and therefore, it was held that interest earned by the Bank on dated Government securities is not liable to tax under the provisions of the Interest Tax Act, 1974. In that view of the matter following the judgment of Hon'ble the Supreme Court in Corporation Bank's case, the appeals are dismissed. ( DEO NARAYAN THANVI ),J. ( N P GUPTA ),J. /Sushil/