TMI Blog2004 (7) TMI 52X X X X Extracts X X X X X X X X Extracts X X X X ..... Whether, Tribunal was right in law in holding that the assessee is entitled to change the method of valuation of Government securities to market value from cost, and claim depreciation on the difference?" - Substantial questions of law raised in this appeal are answered against the appellant/Revenue - - - - - Dated:- 29-7-2004 - Judge(s) : P. D. DINAKARAN., N. KANNADASAN. JUDGMENT The jud ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ck-in-trade of the assessee, which had been adopting the market price for its stock-in-trade since 1983. Accordingly, he allowed the depreciation claimed on the investments, against which the Revenue preferred an appeal before the Income-tax Appellate Tribunal. The Tribunal held that the finding of the Commissioner of Income-tax (Appeals) that the Government securities were stock in trade was not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Commissioner of Income-tax (Appeals) and also before the Tribunal. Hence, the same is answered against the appellant/Revenue. The second substantial question of law raised in this appeal has been answered against the appellant/Revenue by the apex court in United Commercial Bank v. CIT [1999] 240 ITR 355, wherein it is held as follows: 1. For valuing the closing stock, it is open to the assesse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Income-tax Act, in a case where accounts are correct and complete, but the method employed is such that in the opinion of the Income-tax Officer, the income cannot be properly deduced therefrom, the computation shall be made in such manner and on such basis as the Income-tax Officer may determine. Accordingly, following the decision of the Supreme Court cited supra, the substantial question ..... X X X X Extracts X X X X X X X X Extracts X X X X
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