2002 (8) TMI 43 - HC - Income Tax

Whether on the facts and in the circumstances of the case the Tribunal was right in holding that the provisions of the amended rule 5 which came into force on April 2 1983 would be applicable to the assessment year 1983-84 also and the assessee would be entitled to the enhanced depreciation as pro vided in the said amended rules? - The question referred to us is therefore answered in favour of the Revenue and against the assessee.

Summary

The High Court of Madras ruled that the amended rule 5, which came into force on April 2, 1983, would not be applicable to the assessment year 1983-84. The law to be applied for assessment is the law in force on the first day of the assessment year. The amendment would only be applicable for the subsequent assessment year. The judgment favored the Revenue and went against the assessee.