COMMISSIONER OF INCOME TAX Vs. DEEPAK NITRITE LIMITED

JUDGEMENT

(1.) IN the reference, the following question has been raised :

(2.) IT is not disputed that the assessee -company entered into an agreement on 3rd July, 1984, with Mafatlal Industries and it had to pay the total consideration of Rs. 1.21 crores to Mafatlal Industries in view of the agreements for its unit named as Sayadri Dyestuff. The assessee paid Rs. 1 crore at the time of the execution of the aforesaid agreement. The balance amount of Rs. 21 lacs was to be paid on execution and registration of the conveyance deed in favour of the assessee -company which was not done till the end of the accounting year under question. The Tribunal took the decision in favour of the assessee. In view of the decision of the apex Court in Mysore Mineral vs . CIT : [1999]239ITR775(SC) the learned counsel for the Revenue stated that the case is covered by the decision of the apex Court. The apex Court held as under :

(3.) SO far as Tax Appeal No. 150 of 1999 is concerned, in view of our decision in IT Ref. 23 of 1996 the answer must be given in favour of the assessee and against the Revenue. The appeal stands dismissed with no orders as to costs. Copy of the order be placed in Tax Appeal No. 150 of 1999.