1993 (1) TMI 42

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....uestions relate to assessment years 1970-71 and 1973-74, respectively. These questions are: For the assessment years 1970-71, 1971-72 and 1973-74 : " 1. Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in holding that the payment by way of technical fees to Messrs. Westing House Brake and Signal Co. Ltd. in the respective previous years relevant to the assessment years 1970-71, 1971-72 and 1973-74 was a permissible deduction ? 2. Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that the payment by the assessee-company to Messrs. Twin Disc. Company of U. S. A. in the respective previous years relevant to the assessment years 1970-71, 1971-72 and 19....

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....essors). This claim was also disallowed by the Income-tax Officer. The disallowance was upheld by the Appellate Assistant Commissioner. However, on second appeal, the Tribunal allowed the claim as it found that admittedly the assessee's claim in regard to the payments made to Messrs. Hitachi was on facts similar to its claim in regard to Westing House Air and Signal Co. Ltd. which already had been allowed by it. In such circumstances, it was held by the Tribunal that the payments made by the assessee on account of cost of drawings to Messrs. Hitachi were also revenue expenditure. In the assessment for the assessment year 1973-74, the assessee made a claim for depreciation on capital assets used for scientific research related to its busi....

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.... three assessment years under reference should also be held to be revenue expenditure. We have considered the submissions. On perusal of the above decisions, we find force in the submission. We do not find any distinguishing feature in the present case justifying any deviation from the decisions of this court rendered in the assessee's own case in respect of earlier years on similar facts. Under the circumstances, it is difficult to hold that the aforesaid decisions are not applicable to the present case. Our attention was also drawn by learned counsel for the assessee to a recent decision of the Supreme Court in the case of Alembic Chemical Works Co. Ltd. v. CIT [1989] 177 ITR 377, in support of the contention that the expenditure in....