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TMI Blog2015 (1) TMI 1157X X X X Extracts X X X X X X X X Extracts X X X X ..... lasses pump, weigh bridge and diesel generating sets, which were exclusively used in the factory. - Decided in favour of assessee. Disallowed of market fee - Held that:- As decided in Commissioner of Income Tax Vs. Moti Lal Padampat Udyog Ltd. (2013 (3) TMI 394 - ALLAHABAD HIGH COURT) observed that payment of market fee to purchase the sugar cane and sugar is allowable deduction. Also in the case of CIT Vs. Macdowell & Company Ltd, (2009 (5) TMI 28 - SUPREME COURT ) had held that "bottling fee" realized under the Rules framed under the Excise Act is neither tax nor duty as such Section 43B of the Act is not applicable on it.- Decided in favour of assessee. - Income Tax Appeal No. - 143 of 2001 - - - Dated:- 23-1-2015 - Hon'ble Tar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d/1984 for the assessment year 1980-81 and holding that it was a contingent liability, not due and covered u/s 43B of the I.T.Act, 1961? 3. The brief facts of the case are that during the assessment year under consideration, the assessee was engaged in manufacturing of sugar, vanaspati etc. and filed the return for the total income of ₹ 24,23,480/-. During scrutiny, the A.O. has made various disallowances which were upheld by the first appellate authority but the Tribunal has given the relief to the assessee. Being aggrieved, the Department has filed the present appeal. 4. With this background, heard Sri Shambhu Chopra, learned counsel for Department and Sri Ashish Bansal, learned counsel for assessee. 5. The first grievance ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) observed that payment of market fee to purchase the sugar cane and sugar is allowable deduction. 11. It may be mentioned that Hon'ble Supreme Court in the case of CIT Vs. Macdowell Company Ltd, (2009) 10 SCC 755 had held that bottling fee realized under the Rules framed under the Excise Act is neither tax nor duty as such Section 43B of the Act is not applicable on it. 12. In view of the above, the issue is covered in favour of the assessee and against the Department. When it is so, then we find no reason to interfere with the impugned order passed by the Tribunal, the same is hereby sustained alongwith the reasons mentioned herein. 13. The answer to both the substantial questions of law is in favour of the assessee and a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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