1996 (9) TMI 76

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....factured by the assessee and in view of the insertion of rule 5AA from April 1, 1981 ? (2) Whether, on the facts and in the circumstances of the case, the Tribunal is justified in law in setting aside the orders of the lower authorities and allowing investment allowance and directing the Income-tax Officer to ask the assessee to furnish the particulars of other things ? " To answer these questions it will be convenient to refer to section 32A which provides for investment allowance in respect of ship, aircraft, machinery, plant, etc. This section, in relevant part, is as under : " 32A(2)(b)(iii). In any other industrial undertaking for the purposes of business of construction, manufacture or production of any article or thing, not ....

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....be said to manufacture or produce any article. In the course of his submissions, Mr. Rastogi cited some decisions of the High Courts of Allahabad, Madhya Pradesh and Calcutta. In CIT v. Nandlal Cold Storage [1993] 199 ITR 327 (All) similar questions as in the present case were raised and the court answered the questions in favour of the Revenue. The court observed that the operation of a cold storage plant did not result in the manufacture or production of any article or thing and, thus, the condition precedent for claiming investment allowance did not exist in the case of a cold storage. Similar is the view expressed in Mittal Ice and Cold Storage v. CIT [1986] 159 ITR 18 (MP) and in S. B. Cold Storage Industries Pvt. Ltd. v. CIT [19....