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TMI Blog1978 (12) TMI 96X X X X Extracts X X X X X X X X Extracts X X X X ..... st. yr. 1974-75. 2. We first take up the appeal of the assessee. The assessee had certain land and building situated at 199, Thiruvothiyur High Road, Tondiarpet, Madras. This was a business asset and the sale was effected on 15th April, 1972 for an amount of Rs. 1,50,000 to one M/s. A.R. Ahamed Co., a partnership firm. In respect of the machinery component, profit under s.41(2) was also only t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... apacity of an owner-cum-trader. The urban land tax relates to a period when the assessee held the asset as a business asset. The demand became crystalised only in the accounting period now under consideration. Though the actual payment was made by M/s. Ahamed Co., the payment of behalf of the assessee represented expenditure incurred by the assessee for the purpose of business as an owner-cum-tr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arat High Court in CIT Gujarat vs. Patel Brothers Co. Ltd. (2) Hence we do no agree with the learned Departmental Representative who relying on the decision of the Kerala High Court in CIT Kerala vs. Veeriah Reddiar (3), submitted that the expenditure should not be allowed as a deduction. The appeal of the Department on this point fails. 4. The next contention is against the AAC allowing as re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sion of the Madras High Court in CIT vs. Raman and Raman Ltd (4). Inn our view, the assessee being a motor transport operator the purchase and sale of buses have really to take place during the course of the business of the assessee. The expenditure was incurred by the assessee in connection with ensuring that the purchasers get route permits etc., transferred without undue difficulty. This expend ..... X X X X Extracts X X X X X X X X Extracts X X X X
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