TMI Blog2006 (2) TMI 143X X X X Extracts X X X X X X X X Extracts X X X X ..... dismissed. - - - - - Dated:- 27-2-2006 - Judge(s) : P. D. DINAKARAN., P. P. S. JANARTHANA RAJA. JUDGMENT The judgment of the court was delivered by P. D. DINAKARAN J.-The appeal is directed against the order dated August 23, 2005, made in I. T. A. No. 2202/Mad/2003 allowing deduction under section 80-IA of the Income-tax Act, 1961 (in short the "Act") holding that the assessee is entitled for deduction under section 80-IA of the Act. The brief facts of the case are stated as under: The assessee is engaged in the business of developing photographs snapped in film rolls and printing them. The Assessing Officer rejected the assessee's claim for deduction under section 80-I of the Act. However, on appeal, the Commissioner of Income ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e, having engaged themselves in the manufacturing process, is entitled to claim investment allowance. This court in CIT v. Prasad Productions P. Ltd. [2001] 249 ITR 502, has already held as follows: "The assessee's business consisted of producing feature films. It had a processing and drying plant, where exposed films in various stages were processed into positive films used for projection in cinema theatres. The assessee was entitled to investment allowance in respect of its plant and machinery." The Andhra Pradesh High Court in CIT v. Prasad Film Laboratories P. Ltd. [1997] 225 ITR 348 has held as follows: "that by the process carried out by the assessee, the raw film without images and sound were converted into films with images ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n an industrial undertaking for the purpose of manufacture or production of any article or thing and must be related to the production of such article or thing which is saleable in the open market only. Any plant and machinery specified in section 32A manufacturing or producing any article or thing not in the prohibitory list in the Eleventh Schedule is a plant and machinery through which the article or thing is produced notwithstanding that such production of article or thing only satisfied the personal needs of the individual for whom it is manufactured or produced. A custom-made article or thing manufactured or produced does not cease to bean article or thing manufactured or produced because it is produced on order with particular specif ..... X X X X Extracts X X X X X X X X Extracts X X X X
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