TMI Blog1999 (9) TMI 2X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee in the accounting year was not expenditure allowable as a deduction in computing the business profit of the assessee-company - held, yes - C.A. 4858 OF 1989 - - - Dated:- 7-9-1999 - Judge(s) : S. P. BHARUCHA., B. N. KIRPAL., V. N. KHARE., S. S. M. QUADRI. and D. P. MOHAPATRA. JUDGMENT The judgment of the court was delivered by S. P. BHARUCHA J.--- These appeals have b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... articularly described in Schedule A attached to this lease deed and forming part of the same for a period of FIFTEEN YEARS from first December, One thousand nine hundred and seventy one at a monthly rent of ₹ 35 (rupees thirty five) only per acre. Clause 2 of the lease deed stated that the lessee shall deposit with the lessor by way of the guarantee for due performance of this lease deed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Industries Ltd. [1960] 40 ITR 67 (SC) and the facts of the case of Gotan Lime Syndicate [1966] 59 ITR 718 (SC). As the judgment in Gotan Lime Syndicate's case [1966] 59 ITR 718 (SC), relied upon by the assessee, clearly shows, in that case there is no payment once for all ; it is a yearly payment of dead rent and royalty. It is true that if a capital sum is arrived at and payment is made ever ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Syndicate's case [1966] 59 ITR 718 (SC), that what it got was a right to get lime for manufacturing and the payment had a direct relation to the amount of lime that was removed. In the case before us, as indicated by the lease deed, what was to be paid by the assessee was rent for the land that was leased. It was payable at the rate of ₹ 35 per acre per month. The assessee was requir ..... X X X X Extracts X X X X X X X X Extracts X X X X
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