1981 (2) TMI 108

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....mmon, and the contentions and submissions of the parties are also common. 3. The relevant facts, in brief, are that the assessee is a Company. It filed the returns of income for the accounting periods ended on 31st March, 1976 and 31st March, 1977; relevant for the asst. yr. 1976-77 and 1977-78 and thereby made claims, inter alia the claim in respect of motor car expenses and depreciation thereto on cars for both the years under consideration. The ITO disallowed the claim of the assessee at 1/4th amounting to Rs. 3,755 and Rs. 3,015 respectively for the years under consideration on the ground of personal use of the cars by the Directors, on following the past record of the case. 4. The assessee went in appeals before the CIT (A), and th....

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....s for both the years under consideration on the issue are justified. He relies on the orders of the CIT (A). 6. We have heard the rival contentions and gone through the record before us. From the record, it is clear to us that the issue involved in these appeals was there before the Tribunal Ahmedabad Bench 'A' in ITA Nos. 880, 881 and 882/78-79 dt. 24th Dec., 1979 in the case of M/s. ABC (India) Ltd. vs. ITO Ward—A (Companies). Jamnagar for the asst. yrs. 1973-74 to 1975-76, where the Tribunal held that there was nothing personal in the case of the Company if the Directors use the Company's vehicle as the same is for the business of the company and that there is no application of s. 40 or 40A of the IT Act, 1961. Similarly, Bombay Benc....