1996 (3) TMI 87

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.... Appellate Tribunal, Indore Bench, Indore, has on an application under section 256(1) of the Income-tax Act, 1961 (for short, "the Act"), made by the applicant-Department, referred to this court the following questions, said to be of law, arising out of its order dated May 9, 1991, passed in I. T. A. No. 407/(Ind) of 1989 : " (i) Whether, on the facts and in the circumstances of the case, the T....

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....eframed under section 143(3). The assessee was allowed depreciation on machinery at 30 per cent. and was also given investment allowance under section 32A. The Commissioner of Income-tax, however, on scrutiny of the records of the case, found that the assessment order framed under section 143(3) was erroneous and prejudicial to the interests of the Revenue. He was of the view that the depreciation....

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....by the order of the Tribunal., the applicant-Department moved an application under section 256(1), whereupon the Tribunal has referred the aforesaid questions for the opinion of this court. We have heard Shri D. D. Vyas, learned counsel for the applicant-Department, and Shri H. C. Sarda, learned counsel for the non-applicant/assessee. The controversy projected in the case stands resolved by ....

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....hat the drilling equipment was new and was installed after March 31, 1976. The assessee was, therefore, entitled to investment allowance in respect of it ; (ii) that the description given in the Depreciation Schedule in item D(4) of Appendix I, Part I, to the Income-tax Rules, 1962, is not exhaustive but merely illustrative. What is specified there is earthmoving machinery employed in heavy con....