COMMISSIONER OF INCOME TAX Vs. SANDVIK ASIA LIMITED

JUDGEMENT

(1.) THE assessee-company, M/s Sandvik Asia Ltd., has a factory located at Pimpri, Poona. THE assessee had constructed roads inside the factory premises leading from the gate of the factory to various buildings and leading from one building to the other. THE assessee claimed depreciation on these roads but the ITO rejected the claim of the assessee.

(2.) IN the appeal filed by the assessee, the AAC allowed the claim of the assessee on the basis that depreciation had been allowed for the earlier asst. yr. 1963-64. This view of the AAC was challenged by the Department by an appeal filed before the Tribunal.

(3.) MR. Joshi appearing on behalf of the Revenue has contended that in view of the decision of the Division Bench it was not open to the Court to consider the question as to whether roads within the factory premises can be treated as plant and that the question referred must be answered in favour of the Revenue by holding that the roads constituted "building" and not "plant".