9911796707
TMI Blog1979 (8) TMI 34X X X X Extracts X X X X X X X X Extracts X X X X ..... ooram Govindram was working this sugar factory in the past. There was a partition suit in 1942 and in consequence of a partition decree the Jaora Sugar Mills was purchased at an auction by competitive bid between the two branches of the HUF. The HUF of Kalooram Govindram purchased the factory for Rs. 34,00,000. The movable and immovable assets of the sugar factory were sold by the HUF-Kalooram Govindram-to Jaora Sugar Mills (P.) Ltd., the present assessee, for a sum of Rs. 32,07,511-11-9. It is further alleged that the parties at the time of sale and also at the time of the agreement to sell agreed that the purchaser shall make other allotments of fully paid up shares to make up variations, if any, in the written down value of the whole of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssets as a result of the appeal effect to the Supreme Court decision reported in 57 ITR page 335 given by the ITO as per his order dt. 4-1-1968 in the case of the vendor, HUF? (2) Whether, on the facts and circumstances of the case, the Tribunal was right in holding that further depreciation on the enhanced value of assets could not be allowed to the assessee in the assessment year 1961-62 ? " It was contended on behalf of the assessee that when the agreement to sell and the sale deed both contained a clause that the written-down value of the properties purchased would be on the basis of the value ultimately determined in the income-tax proceedings pending in the assessment of the joint family for the year 1950-51 and onwards, and when ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , according to learned counsel, is not correct in law that at the time of transfer the value had to be determined. Similarly, the view taken by the Tribunal also is incorrect as there is no question of reopening the accounts when they have come to a close, in the face of a specific clause in the agreement to sell and the sale-deed existing between the parties. Learned counsel appearing for the department frankly conceded that so far as the AAC's view is concerned, it does not appear to be correct. But he attempted to contend that when a return was filed by the assessee-company the statement of accounts was filed, although he could not contend that it could not be corrected. Admittedly, the assessment has not been completed. The appeal w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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