2007 (11) TMI 243

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....he opinion of this court: "1. R. A. No. 286 Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was right in law in allowing a sum of Rs. 67,237 paid on account of rent of guest house maintained by the assessee when there is specific provision for disallowance under section 37(4) of the Income-tax Act, 1961? 2. R. A. No. 287 Whether, on the fac....

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....nclude within its scope and ambit the expression 'residential accommodation including any accommodation in the nature of a guest house' used in sub-sections (3), (4) and (5) of section 37 of the Act. While the two expressions can be similarly interpreted, a distinction has been sought to be introduced for the purposes of section 37 by specifying the nature of building to be a guest house. ....

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....used as guest houses as defined in sub-section (5) of section 37 and the provisions of sections 31 and 32 would have been sufficient for the said purpose. The decisions cited by Dr. Pal contemplate situations where specific provision had been made in sections 30 to 36 of the Act and it was felt that what had been specifically provided therein could not be excluded under section 37. The clarificati....

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....t to industries, does not partake of the incidents which attract the conditions for their deductibility from 'actual cost'. Government subsidy, it is not unreasonable to say, is an incentive not for the specific purpose of meeting a portion of the cost of the assets, though quantified as or geared to a percentage of such cost. If that be so, it does not partake of the character of a paymen....