TMI Blog2019 (1) TMI 757X X X X Extracts X X X X X X X X Extracts X X X X ..... ment Year 2002-03. In view of the above findings, we find no reason to interfere with the judgment of the High Court in regard to the first question. Accordingly, the appeals are dismissed in regard to the first question. Claim of depreciation - optional and could not be thrust on the assessee, if it had not claimed it - Held that:- Isuue to be governed by the decision of this Court in Plastiblends India Limited Vs. Additional Commissioner of Income Tax, Mumbai and Another [2017 (10) TMI 423 - SUPREME COURT OF INDIA] Pre-operative expenses incurred in connection with creation of plant & machinery in units which have not commenced production - allowable revenue expenditure - deduction under Section 80M - transfer pricing adjustment - ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ave been framed do not necessarily arise for each Assessment Year. A chart has been tendered, explaining the position. The chart is taken on the record. The appeals by the Revenue raise the following questions: 1. Whether the High Court is correct in holding that interest amount being interest referable to funds given to subsidiaries is allowable as deduction under Section 36(1)(iii) of the Income Tax Act, 1961 (for short the Act ) when the interest would not have been payable to banks, if funds were not provided to subsidiaries; 2. Whether on the facts and in the circumstances of the case and in law, the High Court is correct in upholding the Tribunal s view that prior to insertion of Explanation-5 to Section 32 of the Act, t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ings, we find no reason to interfere with the judgment of the High Court in regard to the first question. Accordingly, the appeals are dismissed in regard to the first question. Insofar as the second question is concnered, the issue, it is common ground, is governed by the decision of this Court in Plastiblends India Limited Vs. Additional Commissioner of Income Tax, Mumbai and Another (2017) 9 SCC 685. The High Court has not had the benefit of the decision of this Court. Hence, we are of the view that it would be appropriate to remand the issue for fresh decision by the High Court bearing in mind the law laid down in the above case. We keep open all the rights and contentions of the Revenue and the assessee in regard to the applicabilit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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