IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE P.S.GOPINATHAN THURSDAY, THE 4TH FEBRUARY 2010 / 15TH MAGHA 1931 ITA.No. 162 of 2009() --------------------- TA.18/COCH/1999 of I.T.A.TRIBUNAL,COCHIN BENCH .................... APPELLANT/RESPONDENT: -------------------- THE COMMISSIONER OF INCOME TAX, TRICHUR. BY ADV. SRI.JOSE JOSEPH, SC, FOR INCOME TAX RESPONDENT: --------------- VYAPARAVIJAYAM HIRE PURCHASE PVT LTD., NADA BUILDINGS, RICE BAZAR, TRICHUR. ADV. SRI.K.SRIKUMAR FOR R1 SRI.K.MANOJ CHANDRAN FOR R1 THIS INCOME TAX APPEAL HAVING BEEN FINALLY HEARD ON 04/02/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: C.N.RAMACHANDRAN NAIR & P.S.GOPINATHAN, JJ. .................................................................... I.T. Appeal No.162 of 2009 .................................................................... Dated this the 3rd day of February, 2010. JUDGMENT Ramachandran Nair, J. Heard Standing Counsel for the appellant and Adv.Sri.K.Srikumar appearing for the respondent. The issue raised i.e. liability for interest tax on finance charges collected by hire purchase company is covered by our judgment in COMMISSIONER OF INCOME-TAX VS. KERALA STATE FINANCIAL ENTERPRISES LTD. reported in 220 CTR 286. Even though counsel for the respondent cited decision of the Madras High Court in COMMISSIONER OF INCOME-TAX VS. HARITA FINANCE LTD. reported in (2006) 283 ITR 370, we have distinguished that judgment in our judgment abovereferred. Therefore, following the judgment abovereferred we allow the Revenue's appeal by reversing the order of 2 the Tribunal and that of the first appellate authority and restore the matter to the Assessing Officer for modification of assessment to the extent required in terms of the judgment abovereferred. C.N.RAMACHANDRAN NAIR Judge P.S.GOPINATHAN Judge pms