T.T. Pvt. Ltd. vs Commissioner of Income Tax

S.R. Rajasekhara Murthy, J.—The following two questions of law have been referred u/s 256(1) of the Income Tax Act, 1961, by the Income Tax Appellate Tribunal, Bangalore Bench, for the opinion of this court:

"1. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in holding that the surtax payable under the Companies (Profits) Surtax Act, 1964, was an inadmissible deduction in computing the total income of the applicant ?

Whether, on the facts and in the circumstances of the case, the Tribunal is right in law in holding that the assessee is entitled to the relief u/s 80J without restricting it on time basis ?"

The first question is completely covered by the decision of this court in CIT v. International Instruments (P.) Ltd. [1984] 144 ITR 936 (ITRCs. Nos. 109 and 110 of 1979, dated 14-9-1983). In view of the said decision, we answer the first question in the affirmative and against the assessee. The second question is covered by the decision of this court in Commissioner of Income Tax, Karnataka-II Vs. Mysore Petro-chemical Ltd., In view of the said decision, we answer the second question in the affirmative and against the Revenue.