Second Income Tax Officer and Another vs Stumpp Schuele and Somappa (P) Ltd.

These appeals, by leave of this Court under Article 136 of the Constitution, are directed against the judgment and order of the High Court of Karnataka dated July 3, 1975 Second Income Tax Officer, Company Circle, Bangalore and Another Vs. Stumpp, Schuele and Somappa Private Ltd. First Income Tax Officer, Company Circle, Bangalore and Another, allowing the writ petitions filed by the respondent assessee and quashing the notices issued u/s 8/16 of the Companies (Profits) Surtax Act, 1964.

After hearing learned Counsel for the parties, we do not find any good reason to interfere with the view taken by the High Court. A similar view has been taken by a number of High Courts in Additional Commissioner of Income Tax Vs. Bimetal Bearings Ltd., Commissioner of Surtax, Vidarbha and Marathwada Vs. Ballarpur Industries Ltd., COMMISSIONER OF Income Tax, DELHI (CENTRAL) Vs. DALMIA CEMENT (BHARAT) LTD., ; Commissioner of Income Tax Vs. Premier Cotton Spinning Mills Ltd., ; Commissioner of Income Tax, Central-II Vs. Schrader Scovill Duncan Ltd., ; Commissioner of Income Tax, Gujarat-II Vs. Alembic Chemical Works Co. Ltd., ; Siemens India Ltd. and another Vs. K. Subramanian, ITO, Companies Circle-IV (4), Bombay and another, K. Subramanian Vs. Siemens India Ltd., Commissioner of Income Tax Vs. J.K. Synthetics Ltd., ; Commissioner of Income Tax, Andhra Pradesh Vs. Indian Detonators Ltd., CIT v. Oswal Woollen Mills Ltd. [1989J 178 ITR 635 (P & H) ; Commissioner of Income Tax Vs. Avery Cycle Industries (P.) Ltd. (No. 1), and Commissioner of Income Tax, Bombay City III Vs. Century Spg. and Mfg. Co. Ltd., . There is a preponderance of judicial opinion in favour of the assessee with which we agree.

The appeals fail and are, accordingly, dismissed. There will be no order as to costs.