2006 (2) TMI 137

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..... ee and parking fee will amount to "rent" within the meaning of the aforesaid provision, even if it could not have such a meaning in common parlance.
Judge(s) : MARKANDEY KATJU., MADAN B. LOKUR JUDGMENT The judgment of the court was delivered by MARKANDEY KATJU C. J.-This writ petition has been filed against the impugned order of the Commissioner of Income-tax dated December 16, 1999 under section 264 of the Income-tax Act, 1961. Heard learned counsel for the parties and perused the record. The petitioner is an airline incorporated in the USA. Its aircrafts land at Indira Gandhi International Airport. The short question in the case is whether the landing and parking charges can be deemed to be rent under section 194-I, Explanation (i .....

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..... tion 43(3) includes books within the meaning of the word "plant" for the purpose of depreciation. Learned counsel for the petitioner sought to go into the intention of the provision and the background, etc., but in interpreting a taxing statute all these considerations are irrelevant. In a taxing statute the principle of literal interpretation is very strictly applied. It is often said that there is no equity in taxes and tax and equity are strangers. In our opinion, there is no equity in a tax and considerations of equity are wholly out of place in a taxing statute. This is because the principle of strict interpretation applies to taxing statutes. The principle of strict interpretation of taxing statutes was best enunciated by Rowlatt J .....

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..... xemption was denied to the assessee on the ground that the intention of the notification was to avoid double taxation, and as this was not a case of double taxation, no exemption could be granted. The Supreme Court held that on the plain language of the notification the assessee was entitled to exemption, and since the intention was not reflected in plain words, it could not be taken into consideration. It is said that tax and equity are strangers, vide Partington v. Attorney General [1869] LR 4 HL 100. This view was best expressed by Lord Cairns: "If the person sought to be taxed comes within the letter of the law he must be taxed, however great the hardship may appear to the judicial mind. On the other hand, if the court seeking to reco .....

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