COMMISSIONER OF INCOME TAX Vs. SATELLITE ENGINEERING LIMITED

JUDGEMENT

(1.) THESE two references, both at the instance of the Commissioner of Income -tax, arise out of a common order of the Income -tax Appellate Tribunal in two appeals and they have been heard together and can be conveniently disposed of by a common judgment.

(2.) THE assessment years involved in these two references are assessment years 1966 -67 and 1967 -68. The relevant previous years are financial years ending March 31, 1966, and March 31, 1967, respectively.

(3.) IT appears that the assessee, after starting its manufacturing activity, purchased a fully automatic Swiss lathe and also an extrusion press from Germany for manufacture of brass pins and aluminium containers. A fully automatic vacuum machine was also installed to increase the output of fluorescent starters and switches with minimum wastage of labour.