Piyush Agrawal, J. - (1.) Hear Sri Suyash Agarwal, learned counsel for the appellant and Sri Praveen Kumar, learned counsel for the respondents.
(2.) Present appeal has been filed against the order dated 14.12.2011 passed by Income Tax Appellate Tribunal, Lucknow Bench "A" Lucknow in ITA No. 295/LKW/2011 for assessment year 2008-09 in which following substantial questions of law have been framed:- "I. Whether the ITAT was right in holding that the Appellant was not entitled to claim deduction of Rs. 45,50,025 under Section 35(1)(iv) of the Act? II. Whether the VAT Return of March 2008 and certificates dated 05.06.2010 and 13.08.2010 issued by the statutory Vat Authorities are Public Documents under Section 74 of Evidence Act, certifying the first date of production of food division on 25.03.2008, the ITAT rightly held as not valid piece of evidence to allow deduction amounting to Rs. 40,50,025/- u/s 35(1)(iv) of IT Act? III. Whether the Assessment order for A.Y. 2007-08 (01.01.2008 to 31.03.2008) dated 31.01.2011 and rectification order dated 29.07.2011 passed by the Deputy Commissioner Commercial Tax Sector -3, Shahajahanpur confirming the commencement of production of Food Division as well as assessing the purchases/sales of Food Division, the ITAT was right in denying the deduction u/s 35(1)(iv) of IT Act? IV. Whether the ITAT rightly allowed the Commissioner's Appeal on the issue which was not the subject matter of Appeal? V. Whether the ITAT was right in setting aside the depreciation of Rs. 29,29,610/- on account of machinery and Rs. 5,63,110/- on building of Food Division granted by the CIT Appeal?"
(3.) Brief facts of the case, which arise in the present appeal are that the assessee engaged in the manufacture of Implantable Surgical Devices and Disposable Drops and Dressup. During the year the appellant has alleged to have started new business of Food Division for manufacture of Ready to Cook Food and were producing following items:- 1. Punjabi Chhole 2. Dall Tadka 3. Kashmiri Rajma 4. Dall Makhani 5. Shahi paneer 6. Kadi Pakorra 7. Paneer Chunk Soya sauce;