Al Wakeelo
Your Digital Lawyer, Always on Duty
Initializing Secure Chambers
Your Digital Lawyer, Always on Duty
Initializing Secure Chambers
Citation: 1988 PTD 428
Court: Gujarat High Court
Year: 1964
Decision Date: 1964-10-07
Parties: COMMISSIONER OF INCOME-TAX, GUJARAT vs SANDESH LTD.
Case cited as 1988 PTD 428
Court Name: Gujarat High Court Judge(s): J. M. Shelat, P. N. Bhagwan Title: COMMISSIONER OF INCOME-TAX, GUJARAT vs SANDESH LTD. Case No.: Income-tax Refrence No.1 of 1964 Date of Judgment:1964-10-07 Reported As: 1993 PTD 425 Result: Questions answered in the negative JUDGMENT JUDGMENT the assessee had obtained a land on lease and then built thereon its press where it carried on its business as printer and publisher of a daily newspaper. Here also the lease was obtained on borrowed money and the interest paid thereon was claimed as deduction under aforesaid clauses of repealed Income Tax Act but it was also turned down. On the other hand, in the case reported as State of Madras v. G.J. Coelho (1964) 53 ITR 140), the assessee had purchased a plantation, consisting of tea, coffee and rubber plants out of borrowed money. He claimed the interest paid as deduction under section 5(e) of the Madras Plantation Agricultural Income Tax Act and finally the claim was upheld by Indian Supreme Court for the reason that it was not possible to dissociate the character of the assessee as the owner of the plantations and as a person working them as plantations and that if the payment of the interest on the amount borrowed for the purposes of plantations and the purchase of the plantations were to be viewed as an integrated whole, the payment of interest was so closely related to the plantations that the expenditure could be said to have been laid out or expended wholly and exclusively for…
Read the full judgment on Al Wakeelo — Pakistan's AI-powered legal research platform.