Ranka, J. - (1.) These Income Tax References and Income Tax Appeals relating to various assessment years commencing from 1975-76 to 1999-2000 between the same parties, are directed against order of the Income Tax Appellate Tribunal (for short, 'ITAT')under Interest Tax Act, 1974 (for short, 'IT Act, 1974').
(2.) Some of the appeals/references are by the assessee while some of the appeals/references are by the revenue and since the facts, controversy and questions involved in all the cases being similar, with the consent of the parties, the bunch of cases are being decided by this common order.
(3.) Brief facts, which can be noticed, are that the assessee-bank is a subsidiary of the State Bank of India and is in the banking industry for the last several years and is involved in the activity of advancing money and receiving money from various persons. The controversy in all these cases relates to Interest Tax Act, 1974. Following substantial questions of law have been referred to by the ITAT in the reference applications, later on following substantial questions of law have been admitted by this Court u/s 260A and emerge for consideration in the present bunch of references and appeals:- "1. Whether in the facts and circumstances of the case, the ITAT was justified in holding that amount paid by the assessee to the IDBI, RBI on re-discounting of bills are not part of interest income and as such not chargeable to interest tax? 2. Whether in the facts and circumstances of the case, the ITAT was justified in law in holding that the amount of subsidy received by the assessee from RBI under the Export Credit (Interest Subsidy), 1968 is not liable to interest tax? 3. Whether on the facts and in the circumstances of the case, the Income Tax Appellate Tribunal was right in law in holding that overdue interest amounting to Rs.49,54,371/- charged by the bank was chargeable amount under the Interest Tax Act? 4. Whether in the facts and circumstances of the case and in law the ITAT was justified in law in holding that the guarantee fee/commission shown by the assessee itself under the head of interest is not liable to tax under the Interest Tax Act -;