Capital computation for section 80J includes assets under installation, supporting the assessee's deduction claim.

For deduction under section 80J of the Income-tax Act, 1961, the capital base had to include the value of assets under installation. The HC followed the consistent view of several High Courts that such assets form part of the assessee's capital for relief computation, and the question was answered in favour of the assessee.

---

---

Issues: Whether the value of assets under installation amounting to Rs. 14,05,380 was includible in the capital of the assessee for the purpose of deduction under section 80J of the Income-tax Act, 1961.

Analysis: The issue turned on the computation of capital for relief under section 80J. The Court followed the consistent line of authority of several High Courts holding that the value of assets under installation forms part of the capital base for the purpose of granting the deduction.

Conclusion: The value of assets under installation was required to be included in the capital of the assessee, and the question was answered in favour of the assessee.

---