1987 (4) TMI 93 - AT - Income Tax

Summary

The appeal related to the claim of investment allowance under s. 32A of the Income-tax Act, 1961 for a computer purchased by the assessee for data processing services. The Tribunal held that the assessee was entitled to the investment allowance as the processed data printouts were considered things produced by the assessee, fulfilling the conditions required for the allowance. The Income-tax Officer was directed to recompute the total income and allow the deduction claimed. The appeal was allowed.