COMMISSIONER OF INCOME TAX Vs. SHANKER COLD STORAGE

JUDGEMENT

(1.) This is a reference under Section 256(1) of the Income-tax Act, 1961. The Income-tax Appellate Tribunal, Allahabad Bench, has referred the following question of law for the opinion of this court :

(2.) The facts giving rise to the aforesaid question are these. According to the Revenue, the assessee had purchased a cold storage plant on February 1, 1970, consisting of assets valued at Rs. 1,44,647, which included land, building and machinery. The assessee demolished a part of the cold storage structure and reconstructed the cold storage plant. The construction was completed in March, 1971, and the total investment in the new structure was to the tune of Rs. 2,88,837. The assessee made a claim for allowance under Section 80J of the Income-tax Act, 1961, for the assessment year, namely, 1972-73, which was refused by the Income-tax Officer by saying that the requirements of Sub-section (4) of Section 80J had not been fulfilled. However, the claim was ultimately allowed in appeal by the Income-tax Appellate Tribunal. The view taken by the Income tax Appellate Tribunal was upheld by this court in CIT v. Shankar Cold Storage [1982] 138 ITR 286.

(3.) In the instant case which relates to the assessment year 1973-74, the Tribunal allowed the assessce's claim under Section 80J relying upon its earlier order for the assessment year 1972-73 which, as already stated, was upheld by this court. No distinguishing features were brought to our notice on which a different view could be taken. We are bound by the decision of this court. Accordingly, in view of the decision of this court taken in the immediately preceding year, we answer the question referred to us in the affirmative, in favour of the assessee and against the Revenue. There shall be no order as to costs.