Court lacks jurisdiction on tax matters due to Assessing Officer's location.

The High Court ruled that it lacked territorial jurisdiction to decide on the disallowance of depreciation on a "paper brand" and a "chemical recovery plant" due to the final assessment being conducted by the Assessing Officer in Ghaziabad. Emphasizing the importance of territorial jurisdiction in tax matters, the court returned both cases to the appellant for filing in the appropriate jurisdiction, citing precedents and highlighting the significance of the location of the Assessing Officer for determining court jurisdiction in tax cases.

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Issues:
- Disallowance of depreciation on "paper brand"
- Disallowance of depreciation on "chemical recovery plant"
- Territorial jurisdiction of the court

Disallowance of Depreciation on "Paper Brand":
The appellant-revenue filed an appeal against the deletion of the addition of depreciation on "paper brand" by the Income Tax Appellate Tribunal (ITAT). The Tribunal had relied on a previous decision without considering the separate assessment years. The High Court noted the history of assessment orders and appeals, ultimately concluding that it lacked territorial jurisdiction due to the final assessment being done by the Assessing Officer in Ghaziabad. Citing precedents, the court emphasized the importance of territorial jurisdiction in tax matters and returned the case to the appellant for filing in the appropriate court.

Disallowance of Depreciation on "Chemical Recovery Plant":
Similarly, the appellant-revenue challenged the deletion of the addition of depreciation on a "chemical recovery plant" by the ITAT. The High Court reviewed the assessment process, noting the transfer of cases to Ghaziabad for final assessment. Again, the court ruled that it lacked territorial jurisdiction to decide on the matter, emphasizing the need for cases to be heard in the appropriate jurisdiction as per tax laws.

Territorial Jurisdiction of the Court:
The High Court extensively discussed the importance of territorial jurisdiction in tax cases, citing previous judgments to support its decision. It highlighted that decisions of one High Court do not bind another outside its jurisdiction. The court reiterated that the location of the Assessing Officer for the final assessment determines the jurisdiction of the court. Due to the assessment being done in Ghaziabad, the High Court concluded that it did not have the jurisdiction to adjudicate the matter and returned the case to the appellant for filing in the correct jurisdiction.

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