https://www.taxtmi.com/caselaws?id=39158 Contributions received from Government, public authorities or local authorities are not deductible when computing the actual cost of machinery for development rebate under section 10(2)(vib) of the Indian Income-tax Act, 1922. The Explanation to section 10(5) is confined to that sub-section and cannot be extended to control section 10(2)(vib). In the absence of an express deduction rule in section 10(2)(vib), the actual cost of the machinery or plant to the assessee means the amount paid for the asset, even if the cost was met from outside contributions. Reliance on section 43 of the Income-tax Act, 1961 was rejected as being in a different statutory context. en-us Thu, 15 Jul 1976 00:00:00 +0530 Tue, 13 Apr 2010 12:58:05 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=39158 Contributions received from Government, public authorities or local authorities are not deductible when computing the actual cost of machinery for development rebate under section 10(2)(vib) of the Indian Income-tax Act, 1922. The Explanation to section 10(5) is confined to that sub-section and cannot be extended to control section 10(2)(vib). In the absence of an express deduction rule in section 10(2)(vib), the actual cost of the machinery or plant to the assessee means the amount paid for the asset, even if the cost was met from outside contributions. Reliance on section 43 of the Income-tax Act, 1961 was rejected as being in a different statutory context. Case-Laws Income Tax Thu, 15 Jul 1976 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=39158