- (1.) These appeals, by leave of this court under article 136 of the Constitution, are directed against the Judgement and order of the High court of karnataka dated 3.07.1975 (Second ITO V/s. Stumpp, Schuele and Somappa P. Ltd. [ 1977] 106 ITR 399), allowing the writ petitions filed by the respondent assessee and quashing the notices issued u/s. 8/16 of the Companies (Profits) Surtax Act, 1964 .
(2.) After hearing learned counsel for the parties, we do not find any good reason to interfere with the view taken by the High court. A similar view has been taken by a number of High courts in Additional COMMISSIONER OF INCOME TAX V/s. Bimetal Bearings Ltd. 1977 110 ITR 131 (Mad); Commissioner of Surtax V/s. Ballarpur Industries Ltd. 1979 116 ITR 528 (Bom); COMMISSIONER OF INCOME TAX V/s. Dalmia Cement (Bharat) Ltd. 1980 126 ITR 736 (Delhi) ; COMMISSIONER OF INCOME TAX V/s. Premier Cotton Spinning Mills Ltd. 1981 128 ITR 694 (Ker); COMMISSIONER OF INCOME TAX V/s. Schrader Scovill Duncan Ltd. 1981 132 ITR 822 (Cal) ; COMMISSIONER OF INCOME TAX V/s. Alembic Chemical Works Co. Ltd., 1982 133 ITR 578 (Guj); Siemens India Ltd. V/s. K. Subramanian, ITO, 1983 143 ITR 120 (Bom) ; K. Subramanian V/s. Siemens India Ltd., 1988 173 ITR 136 (Bom) ; COMMISSIONER OF INCOME TAX V/s. J. K. Synthetics Ltd., 1983 143 ITR 396 (All) ; COMMISSIONER OF INCOME TAX V/s. Indian Detonators Ltd., 1983 143 ITR 547 (AP) ; COMMISSIONER OF INCOME TAX V/s. Oswal Woollen Mills Ltd., 1989 178 ITR 635 (P& H); COMMISSIONER OF INCOME TAX V/s. a very Cycle Industries (P.) Ltd., 1989 178 ITR 173 (P & H) ; and COMMISSIONER OF INCOME TAX V/s. Century Spg. and Mfg. Co. Ltd., 1978 111 ITR 6 (Bom). There is a preponderance of judicial opinion in favour of the assessee with which we agree.
(3.) The appeals fail and are, accordingly, dismissed. There will be no order as to costs.;