1968 (9) TMI 18 - HC - Income Tax

Madras Agricultural Income Tax Act - no new machinery was purchased by the company, no new method was employed but as a result of the expenditure, the methods and processes already employed by the company were rendered more efficient - such expenditure are allowale as revenue expenditure

Summary

The High Court of Madras revised the order of the Agricultural Income-tax Appellate Tribunal for the assessment year 1964-65. The court held that the Tribunal erred in applying section 29(1) of the Madras Agricultural Income-tax Act, as the family had not been previously assessed as a Hindu undivided family. The case was allowed, and remanded back to the Tribunal for fresh disposal. (Case citation: 1968 (9) TMI 18 - MADRAS High Court)