IN HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO. 1639 OF 2013 Director of Income Tax (IT)-I. ... Appellant Vs M/s. Sumitomo Mitsui Banking Corporation ... Respondent Mr. Tejveer Singh for Appellant. Mr. Atul K. Jasani for Respondent. CORAM : S.C. DHARMADHIKARI & A.K. MENON, JJ. THURSDAY, 16TH APRIL, 2015 P.C. : 1. Having heard both sides, we are of view that appeal raises substantial questions of law and at least in part. It is, therefore, om admitted on following substantial questions of law : (1) Whether on facts and in circumstances of case and in law, ITAT was justified in holding that interest payable by Indian PE of foreign bank to its and other SRP 1/4 ::: Uploaded on - 18/04/2015 ::: Downloaded on - 03/05/2016 13:03:56 ::: ITXA1639.13.doc overseas branches is deductible while computing total income ? rt ou (2) Whether on facts and in circumstances of case and in law, Hon'ble C Tribunal has erred in holding that interest income payable by Indian PE of foreign bank to its HO h and branch offices abroad cannot be taken into ig account for purpose of computing income of H HO liable to be taxed in India ? (3) Whether on facts and in y ba circumstances of case and in law, Hon'ble Tribunal has erred in holding that inter office om commission income payable by Indian PE of foreign bank to its HO and branch offices abroad cannot be taken into account for purpose of B computing income of HO liable to be taxed in India ? SRP 2/4 ::: Uploaded on - 18/04/2015 ::: Downloaded on - 03/05/2016 13:03:56 ::: ITXA1639.13.doc 2. As far as question No.4 is concerned and at page 4 of paper- rt book that is on levy of interest under section 234B of Income Tax ou Act, 1961. There, Tribunal has restored matter to file of Commissioner of Income Tax (Appeals) and for decision in C accordance with Division Bench of this in case of Director of Income Tax (International Taxation) vs. NGC Network Asia Ltd. h (2009) 313 ITR 187. Such question can, therefore, never be ig entertained and by terming it as substantial question of law. H appeal is, therefore, dismissed to that extent. 3. Registrar (Judicial)/Registrar, High Court, Original Side, y Bombay to ensure that original record in relation to this Appeal is ba summoned from Tribunal and offered for inspection of parties. This paper book is treated sufficient for purpose of admission of this Appeal. om However, Registry must further ensure preparation of complete paper book in accordance with Rules. Registry in first instance must B send intimation of admission of this Appeal enclosing therewith copy of this order so as to enable Tribunal to act accordingly. SRP 3/4 ::: Uploaded on - 18/04/2015 ::: Downloaded on - 03/05/2016 13:03:56 ::: ITXA1639.13.doc 4. Mr. Jasani waives service on behalf of respondent-assessee. present appeal shall be heard along with Income Tax Appeal rt No.184 of 2013 and similar appeals. ou A.K. MENON, J. S.C. DHARMADHIKARI , J. C h ig H y ba om B SRP 4/4 ::: Uploaded on - 18/04/2015 ::: Downloaded on - 03/05/2016 13:03:56 ::: Director of Income-tax (IT)-I v. M/s. Sumitomo Mitsui Banking Corporation