9911796707
TMI Blog1987 (3) TMI 48X X X X Extracts X X X X X X X X Extracts X X X X ..... see in both these R.Cs. is the same. The two questions referred in these R.Cs., respectively, are " (1) Whether, on the facts and in the circumstances of the case, the Appellate Tribunal was justified in holding that the assessee was entitled to development rebate ? and (2) Whether, on the facts and in the circumstances of the case, the Appellate Tribunal was justified in directing the Income-t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s would be executed by the lessee. Of course, after executing the orders of the assessee, the lessee was free to take up orders from third parties as well. The assessee claimed development rebate in respect of the machinery for the said accounting year. The Income-tax Officer negatived the claim on the ground that, since the machinery has been let out, it cannot be said that it is being used whol ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e lease income is treated as business income, then no further question arises and development rebate must be allowed. In view of the difference of opinion between them, the matter was referred to the Vice-President. The Vice-President agreed with the Accountant Member. He too was of the opinion that once the leasing out of the machinery is held as one mode of doing business with the result that th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or the reasons stated above, we hold that this requirement must be deemed to be satisfied inasmuch as all the three members of the Tribunal held uniformly that leasing out the machinery was one mode of doing business by the assessee. It must also be remembered that the assessee has continued his trading activity and had not leased out his entire business. Only the plant and machinery which he was ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
