TMI Blog1981 (2) TMI 43X X X X Extracts X X X X X X X X Extracts X X X X ..... hether, on the facts and in the circumstances of the case, the assessee is entitled to claim development rebate in respect of the air-conditioning plant under section 33 of the Income-tax Act, 1961 ? " The facts giving rise to this reference as set out in the statement of the case are as follows : The assessee, an individual, derives income from house property, insurance commission and hire charges in respect of air-conditioning equipment. The assessment year involved is 1974-75 for which the accounting period is the financial year ending March 31, 1974. During the accounting period the assessee purchased an air-conditioning equipment and leased it out to M/s. Esso Company Ltd. at Bombay, under an agreement, on a rent of Rs. 4,114 per mon ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... liable to be assessed under the head " Business income ", it is not disputed by the revenue that the assessee in that case would be entitled to claim development rebate in respect of the said air-conditioning plant under s. 33 of the Act. Now, it is well settled that the several heads of income mentioned in s. 14 of the Act are mutually exclusive, each head being specific to cover the income arising from a particular source and if the income under consideration is taxable under the head " Profits and gains of business or profession ", it cannot be taxed as income from other sources. The Tribunal has refused to treat the income from the hiring of the air-conditioning equipment derived by the assessee as profits and gains of business on th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s not justified in holding that the income derived by the assessee from hiring the air-conditioning equipment was not chargeable as profits and gains of business and was chargeable to tax as income from other sources. On the facts and in the circumstances of the case, we are of the opinion that the income derived by the assessee from hiring the air-conditioning equipment was properly taxable under the head " Profits and gains of business ". Our answer to question No. referred to us is that, on the facts and in the circumstances of the case, the income received by the assessee from the hiring of the air-conditioning plant should be assessed under the head " Business income ". Our answer to question No. 2 is that, on the facts and in the ci ..... X X X X Extracts X X X X X X X X Extracts X X X X
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