1993 (1) TMI 50

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....1961, arises from the judgment of this court dated August 9, 1991, on a reference made under section 256(1) of the Act. The question referred to this court by the Income-tax Tribunal was whether the assessee who had been carrying on hotel business was entitled to extra depreciation allowance and also extra shift depreciation allowances. This court answered the said question in the negative by sayi....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....iii) of Part I of Appendix I to the Income-tax Rules, 1962, where the hotel is one approved by the Central Government for the purposes of section 33 of the Act. In the present application under section 261 of the Act the said judgment has been assailed as based on reasoning prima facie fallacious and self-contradictory. In this application, the following substantial questions of law are cont....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....to the Income-tax Rules, 1962. We have heard the submissions of Dr. Pal, learned counsel appearing for the assessee. To our mind, the view we have taken is far from being fallacious and is conformable with the manifest intention of the notes below item No. III(iii) of Part I of Appendix I to the said Rules. That the extra shift depreciation allowance is referable to a factory or concern is clea....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....y misconceived. As a corollary to the ratio decidendi in our answer, an unapproved hotel will be entitled neither to extra shift depreciation allowance nor to extra depreciation allowance especially provided for an approved hotel. Thus, the misapprehension of learned counsel that the decision creates an anomaly is unfounded. We find that the position of law as declared by us is so self-evident ....