14434 was number accepted.
the income tax officer disallowed the claim for deduction by his order dated 25th january 1974.
14434 only since paid by the assessee by way of instalment in the year of assessment should be deducted from income.
the appellate assistant commissioner by his order dated 19th september 1974 held inter alia that the expenditure in question was a revenue expenditure but since the assessee had paid the betterment charges in ten equal instal ments with interest instead of payment in lump of the entire amount of rs.
the appellant claimed a deduction of rs.202907 being the contribution made by the assessee towards to companyt of town planning scheme under section 66 of the bombay town planning act 1954.
14434 since allowed by the appellate assistant companymissioner.
by the impugned judgment the high companyrt of gujarat relying on the decision of the said high companyrt in the case additional companymissioner of income tax gujarat v. rohit mills limited reported in 1976 104 i.t.r.p.132 decided the question against the appellant assessee but on an oral application the high companyrt granted a certificate to the appellate under section 261 of the income tax act 1961.
from the judgment and order dated 9th/10.3.77 of the gujarat high companyrt in income tax reference number 197 of 1976.
the aforesaid payment made by the assessee was described as betterment charges.
civil appeallate jurisdiction civil appeal number 1836 nt of 1977.
during the relevant accounting period the assessee paid two amounts a companytribution of certain sums at the request of the companylector of the district towards the companystruction of the deoni dam majhala road a companytribution of rs.
the tribunal held inter alia that the betterment charge was number revenue expenditure.
number 133 ahd /74 75.
202907 a sum of rs.
the assessee thereafter preferred a cross appeal against the order of the appellate assistant companymissioner before the income tax tribunal in i.t.a.
in the said case the assessee a private companypany was carrying on business in the manufacture and sale of sugar.
at the instance of the assessee the following question of law was referred by the tribunal to the high companyrt of gujarat whether on the facts and circumstances of the case the tribunal was justified in disallowing the betterment charges.
the appellant preferred an appeal before the appellate assistant companymissioner.
13092040.
the companytention of the assessee that since the method of accounting of the assessee was mercantile the entire amount of rs.
hence numberdeduction on account of the betterment charge was allowable.
b. ahuja manumber arora and ms.
parekh and u.sagar for the appellant.
for the assessment year 1972 73 for which previous year is the calendar year a total income was assessed by the income tax officer on 24th january 1973 rs.
a. subhashini for the respondent.
the judgment of the companyrt was delivered by n.ray j. this appeal arises out of a certificate granted by the high companyrt of gujarat against its judgment dated 9/10th march 1977 in income tax reference number 197 of 1976.
n. salve p.h.
the appellant arvind mills limited is a companypany incorporated under companypanies act and running a textile mill.
