CEPT Vs. TATA IRON AND STEEL COMPANY LIMITED

JUDGEMENT

(1.) IN this excess profits tax reference made by the Tribunal to this court under s. 21 of the EPT Act, 1940, three questions have been referred for our determination, viz. :

(2.) ASSESSMENTS in dispute are the assessments under the EPT Act, 1940. The assessee, which is a public limited company, is doing business in the manufacture of steel and the relevant chargeable accounting periods are the financial years ending 31 -3 -1942, 31 -3 -943, 31 -3 -1944, 31 -3 -1945 and 31 -3 -1946. We shall deal with the facts pertaining to each one of these years separately.

(3.) THE second question is confined only to the two chargeable accounting periods ending March 31, 1945 and March 31,1946 and the question relates to computation of capital employed by the assessee in the business in those two years and the question raised is thus : Whether in computing the capital employed in the assessee's business for the chargeable accounting periods the amount of voluntary deposits of Rs. 50,36,928 made by the assessee under s. 10 of the Finance Act, 1942, was deductible or not.