NIRMA CREDIT Vs. ASST COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) Tax Appeal Nos.1203/2006 to 1205/2006 under Section 260A of the Incometax Act, 1961 are filed against the common order dated 19.05.2006 passed by the Income Tax Appellate Tribunal in ITA Nos.18, 2515 & 2516/Ahd/2000 raising the following substantial question of law:

(2.) Briefly stated, the assessee company is engaged in the business of manufacture of detergents. During the year under consideration, manufacturing activity was not carried out by the assessee. Therefore, the assessee claimed depreciation on the block of Plant & Machinery from the earlier year. However, the Assessing Officer passed the assessment order on 05.01.1998 disallowing the depreciation. Against the said order, the assessee preferred appeal before the CIT(A). The CIT(A) partly allowed the appeal vide order dated 04.10.1999. Being dissatisfied with the same, the Revenue filed appeals before the Tribunal. However, all the appeals filed by the Revenue were dismissed. Hence, these Tax Appeals.

(3.) When the matters were called out in the first round, learned Standing Counsel Mr. Nitin Mehta was not present. Therefore, the matters were keptback. When the matters were called out again in the second round, Mr. Nitin Mehta was not present. Therefore, a request was made to learned counsel Mr. Sudhir Mehta to assist the Court in these matters, which he agreed. Therefore, the matters were heard and decided on merits.