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2013 (6) TMI 42

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..... Income Tax JUDGMENT (Judgment of the Court was delivered by CHITRA VENKATARAMAN, J.) The assessee is on appeal as against the order of the Tribunal relating to the assessment year 1996-97, raising the following substantial question of law:- "Whether on the facts and in the circumstances of the case, the Tribunal is right in holding that the tariff subsidy specifically given to meet the cost of .....

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..... sing Officer. Aggrieved by the same, the assessee went on further appeal before the Income Tax Appellate Tribunal, which once again confirmed the orders of the authorities below by referring to the decision of the Apex Court reported in 237 ITR 579 (SC) (Commissioner of Income Tax Vs. Sterling Foods) and held that the subsidy received from Electricity Board could not be said to flow directly from .....

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..... hat the payments were made after setting up of the industry and commencement of the production, so as to enable the industry to run profitably. In any event, going by the provisions under Section 80IA with reference to its link to the business of the assessee, the Tribunal should have considered the relief. 4. We agree with the submissions of the learned counsel for the assess. As already stated, .....

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..... lectricity Department. The assessee has restricted its claim before this court with reference to the tariff subsidy alone and has not raised any issue as regards the interest receipt. In the circumstances, we have no hesitation in setting aside the order of the Tribunal by allowing the tax case appeal. Accordingly, the order of the Tribunal stands set aside on the question of law raised and the .....

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