SAUMITRA DAYAL SINGH, J. - (1.) This income tax appeal, under Section 260 A of the Income Tax Act, 1961 (hereinafter referred to as the 'Act') has been filed by the assessee against the order of the Income Tax Appellate Tribunal, Agra Bench dated 06.11.2015, for A.Y. 2010-11.
(2.) The assessee is aggrieved by part of the Tribunal's order insofar whereby it has disallowed the claim of interest expenditure under section 36(1)(iii) of the Act and has, to that extent dismissed the appeal filed by the assessee.
(3.) The above appeal was admitted on the following two questions of law:- "1. Whether on the facts and circumstances of the case was the learned ITAT legally justified in upholding the order of the CIT (Appeals) for directing the AO to recompute the disallowance of the interest when in fact the recomputed the ITAT has itself given a finding that the A.O. has not established the nexus between the interest bearing funds with interest free loans. 2. Whether on the facts and circumstances of the case was the learned ITAT legally correct and justified in upholding the CIT(A)'s order partly when, admittedly the lower authorities including the ITAT accepted that the assessee had interest free funds available with it of Rs. 39,45,705/- and loans of Rs. 4 lakhs to M/s Venus Satiate Vehicle Service Pvt. Ltd. were interest free made for business purposes." ;