- (1.) Heard Sri Alok Mathur, learned counsel for appellant and Sri Pradeep Agrawal, learned counsel for respondent.
(2.) This appeal has been filed by Principal Commissioner of Income Tax, Lucknow under Section 260A of Income Tax Act, 1961 (hereinafter referred to as "Act 1961") arising from judgment and order dated 16.10.2015 passed in ITA No. 260/LKW/2014 relating to Assessment Year 2009-10.
(3.) It was admitted on 15.03.2016 on following substantial questions of law:- "Whether Under the facts and circumstances of the case, the learned Income Tax Appellate Tribunal erred in law while setting aside the order of CIT (A) and restoring the issue of disallowance u/s 40(a)(ia) of the I.T.Act by retrospective application of second proviso to Section 40(a)(ia) of the Act, which amendment in fact was not curative but prospective w.e.f 01.04.2013. Whether under the facts and circumstances of the case, the Learned Income Tax Appellate Tribunal failed to appreciate that the judgment of Hon'ble High Court relied upon by it was not of jurisdictional High Court and on the same issue, divergent view was taken y Hon'ble Kerala High Court in the case of Shri Thomas George Muthoot Vs. CIT (Kerala High Court), Income Tax appeal No. 278/2014 dated 03.07.2015 wherein the Hon'ble Kerala High Court had clearly held that the amendment brought in to second proviso to section 40(a)(ia) is prospective and not curative in nature when Finance Act, 2012 did not provide its retrospective application".;