Commissioner of Income-tax Vs. Sakthi Sugar Ltd. - Court Judgment

SooperKanoon Citationsooperkanoon.com/787316
SubjectDirect Taxation
CourtChennai High Court
Decided OnAug-01-2001
Case NumberTax Case No. 114 of 1991 (Reference No. 49 of 1991)
JudgeR. Jayasimha Babu and ;C. Nagappan, JJ.
Reported in[2002]254ITR605(Mad)
ActsIncome-tax Act, 1961 - Sections 35C
AppellantCommissioner of Income-tax
RespondentSakthi Sugar Ltd.
Appellant AdvocateChitra Venkataraman, Adv.
Respondent AdvocateP.P.S. Janardhana Raja, Adv.
Excerpt:
- r. jayasimha babu , j.1. the finding is a finding of fact. the tribunal has observed that the expenditure was incurred on the staff of the company engaged in rendering service to the agriculturists. it is also to be noted that the revenue had not controverted that position.2. the question referred to us as to whether the tribunal was right in law in holding that the assessee is entitled for weighted deduction under section 35c in respect of the expenditure incurred by way of salary, bonus, ex gratia production incentive, etc., to the employees who are involved in the purchase of sugarcane, is, therefore, answered in favour of the assessee and against the revenue.
Judgment:

R. Jayasimha Babu , J.

1. The finding is a finding of fact. The Tribunal has observed that the expenditure was incurred on the staff of the company engaged in rendering service to the agriculturists. It is also to be noted that the Revenue had not controverted that position.

2. The question referred to us as to whether the Tribunal was right in law in holding that the assessee is entitled for weighted deduction under section 35C in respect of the expenditure incurred by way of salary, bonus, ex gratia production incentive, etc., to the employees who are involved in the purchase of sugarcane, is, therefore, answered in favour of the assessee and against the Revenue.