- (1.) THE Income Tax Appellate Tribunal, Delhi has referred the following question of law under section 256(2) of the Income Tax Act, 1961 (hereinafter referred to as 'the Act') for opinion to this Court. 'Whether, on facts and in the circumstances of the case, the Tribunal was in law, justified in holding that the assessee was an industrial undertaking?'
(2.) THE reference relates to the assessment year 1985 -86. The respondent/assessee is a private limited company and is engaged in undertaking contracts for construction of building etc. It had claimed investment allowance under section 32A and deductions under sections 80HH and 80J of the Act. The assessing officer had disallowed the exemptions and deductions on the ground that it is not an industrial undertaking. However, in appeal the CIT(A) has allowed the claim which order has been upheld by the Tribunal.
(3.) HEARD Sri A.N. Mahajan, learned Standing counsel for the revenue. Sri P.K. Singhal has filed his appearance on behalf of the respondent/ assessee.;