Dipak Kumar Sen, J. - (1.) This reference arises out of the income-tax assessment of Hindusthan Motors Ltd., the assessee, in the assessment year 1971-72. On an application of the Revenue under Section 256(1) of the Income-tax Act, 1961, the following questions have been referred by the Tribunal as questions of law arising out of its order for the opinion of this court: "1. Whether, on the facts and in the circumstances of the case, the Tribunal is right in law in holding that the assessee is entitled to higher rebate on all its automobile ancillaries including those utilised by it in the assembling of its own cars and in that view allowing a higher rebate at 25% for the assessment year 1971-72 ?
(2.) Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in holding that the assessee's claim to development rebate in respect of the tube-well was justified and in that view granting development rebate on tube-well brought into existence during the assessment year 1971-72 for Rs. 1,18,205 ?" 2. The controversy involved in question No. 1 is covered by the decision of this court in the case of the same assessee in respect of the earlier assessment years where an identical question was considered and answered. The said decision is CIT v. Hindusthan Motors Ltd. Following the said decision, we answer this question in the affirmative and in favour of the assessee.
(3.) The Income-tax Officer in making the assessment for the assessment year involved did not allow development rebate to the assessee on tube-wells which were constructed during the year at a cost of Rs. 1,18,205. On an appeal by the assessee, the Appellate Assistant Commissioner, following an appellate order dated April 11, 1975, for the assessment year 1972-73 in the case of the same assessee, directed the Income-tax Officer to allow the development rebate for tube-wells as claimed by the assessee.;