1991 (1) TMI 15 - HC - Income Tax

Summary

The High Court of Madras, in a tax case reference under section 256(1) of the Income-tax Act, 1961, ruled that the subsidy received from SIPCOT did not reduce the actual cost of plant and machinery for depreciation and development rebate. The court cited a recent decision in Srinivas Industries v. CIT [1991] 188 ITR 22 and ruled in favor of the taxpayer. No costs were awarded.