1993 (4) TMI 58

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.... one by the assessee and the other by the Revenue, are being disposed of together for the sake of convenience. Under section 256(1) of the Income-tax Act, 1961, the Income-tax Appellate Tribunal has referred the following questions : At the instance of the assessee : "1. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in not admitting the additional gro....

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....of the case, the Tribunal was justified in law in holding that the initial depreciation also should be deducted to arrive at the written down value of the assets for inclusion in the capital for purpose of section 80J read with rule 19A of the Income-tax Rules, 1962?" At the instance of the Revenue: "1. Whether, on the facts and in the circumstances of the case, the Tribunal was right in law....

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....rcumstances of the case, the Tribunal was right in interpreting the expression 'capital employed in the industrial undertaking' used in section 80J of the Income-tax Act, 1961, to mean the total value of the assets of the new industrial undertaking without deducting therefrom the borrowed moneys and debts due by the assessee ?" As regards the first two questions referred at the instance of the ....

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....he case of CIT v. Zenith Steel Pipes Ltd. [1982] 137 ITR 34 in favour of the Revenue. Following the aforesaid decision, we answer the question in the negative, that is, in favour of the Revenue and against the assessee. As regards the issue raised in the first question referred to us at the instance of the Revenue, the same is covered by the decision of the Supreme Court in the case of Scien....