1997 (1) TMI 33

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....-This is a reference under section 256 of the Income-tax Act, 1961, by the Income-tax Appellate Tribunal, Cochin Bench, at the instance of the Revenue arising out of the order of the Tribunal in I. T. A. No. 737/Coch of 1987, which relate to the assessment year 1985-86. The following is the question referred for the opinion of this court : "Whether, on the facts and in the circumstances of the ....

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....car and jeep repair charges from the computation made by him under section 37(3A) of the Act. While dismissing the appeal filed by the Revenue, the Tribunal upheld the view of the Commissioner of Income-tax (Appeals). In I. T. R. No. 74 of 1994---CIT v. A. V. Thomas and Co. Ltd. [1997] 225 ITR 29 we had occasion to consider a similar question and we have taken the view that the expenditure incu....

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....d in the expenditure incurred on running and maintenance of motor cars for the purpose of restriction under section 37(3A) of the Income-tax Act? (ii) the Tribunal is right in law in holding : repairs are governed by section 31 and taxes are regulated under section 30 such expenditure cannot be construed as running, and maintenance expenditure of motor cars described under section 37(3A) of the....