LAKHANPAL NATIONAL LTD Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) In this appeal, after hearing the learned advocates, as suggested by the learned advocate for the appellant, the following substantial question of law is being framed.

(2.) We have heard learned advocate Shri M.J. Shah appearing for the appellant and learned advocate Shri K.M. Parikh appearing for the respondent. The learned advocates have submitted before this Court that in the case of CIT v. Gujarat State Fertilizers Co. Ltd., 259 ITR 526, the full Bench of this High Court has already rendered its opinion on the question of law involved in this appeal.

(3.) In the light of this undisputed legal position it is held that the assesssee is entitled to investment allowance in respect of additional cost suffered by it due to exchange rate fluctuation. The orders of the Tribunal and the lower authorities are quashed and set aside in relation to the aforesaid question. The Assessing Officer shall pass appropriate order for giving effect to this judgement.