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TMI Blog2014 (3) TMI 738X X X X Extracts X X X X X X X X Extracts X X X X ..... e that the definition is exhaustive. Further, the Court has observed that the language employed by the legislature while defining the meaning of the expression "fixed capital investment" is unambiguous and therefore, no inclusion can be made in the definition by means of interpretation - That portion of the order wherein the High Court had granted relief to the assessee requires to be set aside – Decided in favour of revenue. Whether the transformer/C.V.T. installed for regulating voltage for running of the machinery in the factory premises would fall within the meaning of the expression "fixed capital investment" - Held that:- Explanation 4(b) (i) of Section 4-A speaks of investment made on machinery/apparatus, components etc. for estab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are: the respondent-assessee before us is a public limited company which had established a new unit for manufacturing and sale of C.R. Strips. The assessee had applied for grant of eligibility certificate under Section 4-A of the Uttar Pradesh Trade Tax Act, 1948 (for short "the Act"). The assessee was issued the said certificate on the original fixed capital investment of Rs.542.28/- lacs for a period of six years with effect from 07.03.1990. Later, the assessee had sought for exemption under diversification, modernization/expansion programme on total fixed capital investment including additional fixed capital investment to the extent of Rs.7378.68/- lac. The Divisional Level Committee allowed the investment of Rs.5511.98/- lac for the pur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ount of study report are not allowable for the purposes of calculation of additional fixed capital income; the expenditure incurred by the assessee for installation of transformer/CVT is allowable for the purposes of Section 4-A of the Act and constitutes part of additional fixed capital income and the amount of Rs.7,56,30,000/- which is payment made to financial institution as interest on loan taken by the assessee for construction of the unit would form an essential part of additional fixed capital income and hence is allowable. 6. Aggrieved by the aforesaid judgment and order of the High Court, the Revenue is before us in this appeal. 7. Heard the learned counsel for the parties to the lis. We have also perused the judgment(s) and or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aring for the respondent-assessee would submit that this Court, while rendering the judgment in Kajaria Ceramics Ltd. (supra), had not noticed the proviso appended to Section 4-A of the Act and therefore, the said decision requires re-consideration by a larger Bench. Insofar as the second question of law is concerned, the learned senior counsel would bring to our notice clause (b) of the explanation to explanation (4) of Section 4-A of the Act and submit that the machinery purchased for establishment or running of the factory would certainly fall within the meaning of the expression "fixed capital investment" and therefore, the High Court has not erred in granting relief to the assessee insofar as the purchase of the transformers for runnin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion with Issue I that Explanation 4 to section 4A has defined fixed capital investment saying that it "means "investment in land and building and such plant, machinery, equipment apparatus, components, moulds, dyes, jigs and fixtures as have not been used or acquired for use in any other factory or workshop in India". 63. The language of the definition of the phrase in Explanation (4) to Section 4A is sufficiently clear and unambiguous. This coupled with the use of the word "means" in the Explanation shows that the definition is exhaustive. As has been observed in Feroze N. Dotiwala v. P. M. Wadhwani (2003) 1 SCC 433, 442 (SCC paras 13-14: "Generally, when the definition of a word begins with "means" it is indicative of the fact that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s to be answered in favour of the revenue and against the assessee. Accordingly, that portion of the order wherein the High Court had granted relief to the assessee requires to be set aside. 14. Insofar as the second issue is concerned, we have to notice the proviso to explanation (4) of Section 4-A of the Act. Explanation (4) speaks of "fixed capital investment" to mean "investment in land and building and such plant, machinery, equipment apparatus, components, moulds, dyes, jigs and fixtures as have not been used or acquired for use in any other factory or workshop in India". The said proviso need not be noticed by us for the purpose of disposal of this appeal. 15. Sub-clause (b) of explanation (4) of Section 4-A, is as under : "for t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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