Commissioner of Income-tax Vs. Vikram Metal Powder Pvt. Ltd. - Court Judgment |
| SooperKanoon Citation | sooperkanoon.com/508702 |
| Subject | Direct Taxation |
| Court | Madhya Pradesh High Court |
| Decided On | Mar-08-1991 |
| Case Number | Miscellaneous Civil Case No. 138 of 1989
|
| Reported in | [1992]193ITR741(MP) |
| Appellant | Commissioner of Income-tax |
| Respondent | Vikram Metal Powder Pvt. Ltd. |
Excerpt:
head note: income tax depreciation--actual cost--capital subsidy--received from government for setting up industries in backward areas--not to be deducted for computing actual cost for purposes of depreciation.-cit v. bhandari capacitors pvt. ltd. (1987) 168 itr 647 (mp) followed. income tax act 1961 s.32 - motor vehicles act, 1988
[c.a. no. 59/1988]section 147; [a.k. patnaik, cj, s.s. jha & a.m. sapre, jj] liability of insurer - third party insurance held, the insured who is a party to the insurance is not a third party for the purpose of chapter xi of the act, particularly section 147 thereof. thus, any person other than the insurer and the insured who are parties to the insurance policy is a third party. the insurer, however, would not be liable for any bodily injury or death..........tribunal has passed an order following the decision of the high court in another case, the court would be justified in rejecting an application under section 256(2) and pendency of the point before the supreme court is no ground for allowing the application. in view of the aforesaid decision, no referable question survives before us. the application is, therefore rejected with no order as to costs.
Judgment:V. S. KOKJE J. - This is an application under section 256(2) of the Income-tax Act, 1961 (for short 'the Act') by the Commissioner of Income-tax, Bhopal, praying for a direction to the Income-tax Appellate Tribunal, Indore Bench, to frame the following question and refer it to this court for its opinion :
'Whether on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was legally correct in directing the Income-tax Officer to apply the decision of the Madhya Pradesh High Court in the case of CIT v. Bhandari Capacitors Pvt. Ltd. : [1987]168ITR647(MP) by which the Hon ble High Court had held that the amount of capital subsidy is not deductible from the actual cost of the assets for the purpose of allowing depreciation ?'
An application under section 256(1) of the Income-tax Act was moved before the Tribunal which rejected it following the decision of this court in CIT v. Bhandari Capacitors P. Ltd. : [1987]168ITR647(MP) . A division Bench of this court in CWT v. Smt. Usha Devi : [1990]183ITR75(MP) has held that where the Tribunal has passed an order following the decision of the High court in another case, the court would be justified in rejecting an application under section 256(2) and pendency of the point before the Supreme Court is no ground for allowing the application. In view of the aforesaid decision, no referable question survives before us. The application is, therefore rejected with no order as to costs.