COMMISSIONER OF INCOME TAX Vs. BAKELITE HYLAM LIMITED

JUDGEMENT

(1.) The Income-tax Appellate Tribunal, Hyderabad Bench "B", has referred the questions mentioned hereunder to this court for opinion under section 256(1) of the Income-tax Act, 1961, vide its order dated Jan 23/01/1986, passed in R. A. Nos. 317 and 318/ (Hyd) of 1983 in appeals I. T. A. Nos. 605 and 620/ (Hyd) of 1982 for considering the following questions, i.e., question No. 2 in R. A. No. 317/ (Hyd) of 1983 and question Nos. 3, 4 and 5 in R. A. No. 318/ (Hyd) of 1983 : Question No. 2 in R. A. No. 317/ (Hyd) of 1983 :

(2.) This matter pertains to the assessment year 1978-79. The assessee is one, Bakelite Hylam Limited, Hyderabad. It is a registered company.

(3.) Learned counsel appearing on both sides do not dispute that the question No. 2(1) R. A. No. 317/ (Hyd) of 1983, has already been answered by a Full Bench of this court in Praga Tools Ltd. v. CIT [1980] 123 ITR 773. Hence, following the same, we answer this question in the affirmative, that is to say, in favour of the assessee and against the Revenue.