2000 (11) TMI 8 - SCH - Income Tax

Appellate Assistant Commissioner and the Tribunal have granted to the respondent-company the benefit that an industrial company gets and accordingly, granted it investment allowance in respect of a generator installed by it. It has been, held by them that when the respondent-company processes data on behalf of its clients, it processes goods - revenue has sought to take us back to the primary material - held that it is not the function of this court to assess such primary material

Summary

The Supreme Court upheld the decision to grant investment allowance to a company for a generator installed, stating that processing data for clients constitutes processing goods. The court referred to judgments from Calcutta and Karnataka High Courts. The appeal was dismissed with costs.