1996 (1) TMI 50

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....J. --- In these references arising under section 256(1) of the Income-tax Act, 1961 (for short the " Act "), the following two questions are referred for our opinion : " (1) Whether, on the facts and in the circumstances of the case, the Appellate Tribunal is right in law in holding that the amount received by the assessee from the MMTC cannot be considered as income of the assessee ? (2) Wh....

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....t to income. It is clear from the statement of the case that the development grant had been received by the assessee for acquiring new machinery and replacement of old machinery. The Tribunal took the view that the amount having been received for acquiring new machinery and for replacement of old machinery cannot be treated as a revenue receipt and must be treated only as a capital receipt. The....