2007 (8) TMI 746

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....: Mr. Akshay Bhan, Advocate ORDER RAJESH BINDAL,J. Following question of law has been referred for opinion of this Court by the Income Tax Appellate Tribunal, Chandigarh Bench, Chandigarh (for short "the Tribunal), arising out of order passed in I.T.A.No. 503 of 1987 in respect of the assessment year 1983-84 :- Whether on the facts and in the circumstances of the case, the Tribunal erred ....

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....m 'business and profession', the necessary corollary would that investment allowance under Section 32A of the Act was admissible. The Tribunal while accepting the plea of the assessee relied upon a judgment of Andhra Pradesh High Court in C.I.T. Vs. Vinod Bhargava (1988) 169 ITR 549. We have heard learned counsel for the parties and with their assistance have perused the paper book. The....

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....ay that machinery is not used wholly for the purpose of assessee's business. Hon'ble the Supreme Court also referred its earlier judgment in Commissioner of Income-Tax Vs. Castle Rock Fisheries (1998) 231 ITR 304 wherein it was held that where the business of the assessee consists of hiring out machinery and/or where the income derived by the assessee from the hiring of such machinery is busin....