TMI Blog2002 (8) TMI 60X X X X Extracts X X X X X X X X Extracts X X X X ..... or otherwise of the estimate made by the Assessing Officer who had valued the scrap at Rs. 50,000. The Assessing Officer had taken a higher figure as he found that there were a number of items of steel windows and doors with the assessee, even after the building was pulled down. We, therefore, answer the question referred to us in favour of the Revenue and against the assessee. - - - - - Dated:- 28-8-2002 - Judge(s) : R. JAYASIMHA BABU., K. RAVIRAJA PANDIAN. JUDGMENT The judgment of the court was delivered by R. JAYASIMHA BABU J.-The assessment year is 1983-84. The questions referred to us at the instance of the Revenue are: "1. Whether, on the facts and in the circumstances of the case, the Appellate Tribunal is right in law i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The contention of the assessee was that the words "amount of scrap value, if any" in that section refers only to the monies actually realised by the assessee as scrap value, and does not permit an estimate of that value being made and that if the assessee has chosen not to realise any value from the scrap material, no deduction could be made towards scrap value. We do not find it possible to uphold the order of the Tribunal. Section 32(1)(iii) of the Act permits the writing off of the deficiency between the written down value and the money realised on the building, machinery, plant or furniture which is sold, discarded, demolished or destroyed in the previous year together with the amount of scrap value, if less than written down value. T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ise the price from the person to whom the articles were given does not deprive the article of its value. The value of the scrap, therefore, is required to be taken into account while determining the extent to which the assessee can claim the benefit under section 32(1)(iii). The Tribunal has only taken note of the value of the steel trusses, doors and windows and has not said anything about the correctness or otherwise of the estimate made by the Assessing Officer who had valued the scrap at Rs. 50,000. The Assessing Officer had taken a higher figure as he found that there were a number of items of steel windows and doors with the assessee, even after the building was pulled down. We, therefore, answer the question referred to us in favou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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