9911796707
TMI Blog1986 (11) TMI 87X X X X Extracts X X X X X X X X Extracts X X X X ..... is a limited company deriving income from the manufacture and sale of steel wire. It claimed relief under s. 80J of the Act in respect of its Barrackpore unit which called Unit II. The ITO calculated some relief under s. 80J and observed that the same should be carried forward as the said Unit No. II suffered a loss during the year under consideration. The assessee appealed to the CIT(A) contending that the figure of relief arrived at by the ITO was low. The CIT(A) considered the matter and withdrew the relief given by the ITO on the ground that the assessee was not entitled to any relief as the new unit did not have any taxable profit. In this matter, he followed his order passed for the earlier year. 3. In the asst. yr. 1976-77 the CIT ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... calculated at six percent per annum on the capital employed in the undertaking during the relevant previous year". He stated that this circular was not pointed out to the Tribunal at the time of hearing of the appeal for the asst. yr. 1976-77 and this fact has been mentioned in paragraph 3 of the order dt. 29th Oct., 1986 of the Tribunal on the miscellaneous application referred to earlier. He argued that in the present appeal the aforesaid circular has to be considered so that the matter has to be differently decided. Again, he relied on the following decisions for the proposition that an assessee is entitled to relief under s. 80J even if there is a loss during the particular year. (i) Addl. CIT vs. Sheetalaya (1979) 117 ITR 658 (All) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted that it is proper and desirable for the Tribunal not to contradict itself and come to a diametrically opposite view later as it would be embarrassing in general. Similarly he pointed to the decision in the case of CIT vs. L.G. Ramamurthi and Ors. 1977 CTR (Mad) 416 : (1977) 110 ITR 453 (Mad) for the proposition that no Tribunal of fact has any right or jurisdiction to come to a conclusion entirely contrary to the one reached by another Bench of the said Tribunal on the same facts, because if it is so done, then it will not only shake the confidence of the public but will also totally destroy such confidence. The result of this will be conclusions based on the whims and fancies of the individuals and would cease to be objective. Regardin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rd. We have gone through the orders dt. 24th March 1986 of the Tribunal as well as their order dt. 29th Oct., 1986 on the miscellaneous application. We do not find any good reason to differ from the conclusion arrived at therein. The four cases relied on by the ld. counsel for the assessee, namely, Sheetalya and Ors. were not direct authorities in support of the interpretation sought to be placed on s. 80J (3) by the ld. counsel for the assessee. We are inclined to agree with the contention of the Revenue that paragraph 7 of the circular dt. 9th Oct., 1967 has gone beyond the jurisdiction of the CBDT when it envisages granting of relief under a section in Chapter VI of the Act even when there is no gross total income of the new unit. The ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... reciation was withdrawn. The assessee claimed investment allowance as per the amended law on all the additions to machineries. The ITO disallowed the entire claim on the ground that the machineries were installed prior to 1st April 1976 and so they were not entitled to investment allowance. The assessee appealed to the CIT(A) and contended that the claim for investment allowance was wrongly disallowed. The CIT(A) rejected this contention on the ground that the assessee did not make any claim before the ITO. The assessee took an additional ground before the CIT(A) claiming initial depreciation on those very assets. The CIT(A) declined to admit the additional ground. We have heard Shri N.K. Poddar who urged that the rejection of the assessee' ..... X X X X Extracts X X X X X X X X Extracts X X X X
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