1996 (3) TMI 34

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.... out of the order dated July 22, 1991, passed by the Tribunal in I.T.A. No. 1128/Ind. of 1990, for our consideration and opinion : " Whether, on the facts and in the circumstances of the case, the assessee is entitled for investment allowance under section 32A when its activity is construction of roads ?" Facts lie in a narrow compass. The assessee-firm is a civil contractor. For the assessment year 1987-88, it claimed investment allowance of Rs. 1,62,163 under section 32A of the Act on the machinery costing Rs. 6,48,651. This claim of allowance was rejected by the Assessing Officer. The assessee then filed the appeal before the Commissioner of Income-tax (Appeals). The appeal was allowed and the claim was accepted. The applicant/Departme....

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....rating screens of different sizes are fixed, wherein metal is separated into four different sizes. Then it goes through a controlling system by belt conveyor. It will go to the mixing unit as per specified grading. There asphalt is mixed into the hot metal coming from a controlled pipe by an asphalt heating unit. Then the mixed metal is put into dumpers where the temperature must be 130 degrees centigrade to 165 degrees centigrade. These dumpers go to the road side where a pulverizing unit is present and these dumpers feed the mixed material to that unit where automatically the mixed materials are laid on the road uniformly through a screen fixed imperver. Before laying of this mixed material on the road, liquid asphalt is sprinkled by a se....