The ITO allowed development rebate at the rate of 20 per cent on the ground that the assessee had number been using the plant for processing goods but had actually let it out.
On further appeal by the assessee, the Tribunal held that the assessee was entitled to development rebate at the rate of 35 per cent.
The income derived by such letting was treated and assessed as the business income of the assessee for the relevant accounting year.
During the accounting year relevant to the asst.
The assessee claimed that they were entitled to development rebate in respect of the companyd storage and ice plant at 35 per cent as provided for under s. 33 1 b B i a of the Act.
26th February, 1980 in IT Ref.
BY THE COURT This appeal by certificate granted under s. 261 of the IT Act, 1961 hereinafter referred to as the Act , is directed against the judgment of the Kerala High Court dt.
The assessee is a registered firm dealing in sea foods having its head office at Cochin and a branch at Bombay.
1969 70, the Department had filed an appeal before the Tribunal but numberground was taken at all in the said appeal that the development rebate ought number to have been granted to the assessee.
The said order of the ITO was affirmed in appeal by the AAC.
24 of 1978 which relates to the asst.
1969 70.
1969 70, the assessee had put up a freezing, companyd storage and ice plant at their Bombay branch and the same was temporarily let out by them to a sister companycern.
