CIT v. Taj Mahal Hotel

3 SCC 550Supreme Court of India1971#2378 most cited

What is CIT v. Taj Mahal Hotel authority for?

The definition of 'plant' for income tax purposes includes any apparatus used by a businessman for carrying on their business, excluding stock-in-trade, that is kept for permanent employment. Terms like 'plant' should be construed in their popular sense, as understood by people conversant with the subject matter.

48

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 1992 to 2025.

Also referred to as

CIT v. Taj Mahal Hotel · Taj Mahal Hotel SC · definition of plant · meaning of plant · income tax plant · apparatus used in business · permanent employment in business · popular sense construction · interpretation of terms · depreciation plant

Also reported as

82 ITR 44

Judgments citing CIT v. Taj Mahal Hotel

M/S Mangalore Ganesh Beedi Works vs. Commissioner of Income Tax, Mysore

The appeals are disposed of in the above terms

C.A. No.-010547-010548 - 2011Supreme Court15 Oct 2015
Section 35ASection 37

…nt used for the purposes of the business or profession but does not include tea bushes or livestock; 8 “plant” includes vehicles, books, scientific apparatus and surgical equipment purchased for the purposes of the business, profession or vocation; 9 (1971) 3 SCC 550 12 Page 13 JUDGMENT very fact that even books have been included shows that the meaning intended to be given to “plant” is wide. The word “includes” is often used in interpretation clauses in order to enlarge the meaning of the words or phrases occurring in the body of the statute. When it is so used, those words and phrases must be construed as…

M/S Mangalore Ganesh Beedi Works vs. Commissioner of Income Tax, Mysore

The appeals are disposed of in the above terms

C.A. No.-010547-010548 - 2011Supreme Court15 Oct 2015
Section 35ASection 37

…nt used for the purposes of the business or profession but does not include tea bushes or livestock; 8 “plant” includes vehicles, books, scientific apparatus and surgical equipment purchased for the purposes of the business, profession or vocation; 9 (1971) 3 SCC 550 12 Page 13 JUDGMENT very fact that even books have been included shows that the meaning intended to be given to “plant” is wide. The word “includes” is often used in interpretation clauses in order to enlarge the meaning of the words or phrases occurring in the body of the statute. When it is so used, those words and phrases must be construed as…

Deputycommissioner of Income Tax, Bangalore vs. M/S Indian Brewery & Distillery P Ltd, Bangalore

In the result, the appeal by the Revenue is dismissed

ITA 1286/BANG/2014[2011-12]Status: DisposedITAT Bangalore30 Jul 2015AY 2011-12

Bench: Shri N.V. Vasudevan & Shri Abraham P. Georgeassessment Year : 2011-12

For Appellant: Dr. Shankar Prasad, K., Jt. CIT(DR)For Respondent: Shri V. Srinivasan, CA
Section 143(3)Section 32

…age treatment plant has been claimed on the basis of written down value as on 1.4.2010 and no fresh addition to the asset has been made. Copy of depreciation schedule for A.Y. 2011012 was filed. The assessee relied on decisions of CIT v. Tajmahal Hotel (1971) 82 ITR 44 (SC), CIT v. Madras Cements ltd., 110 ITR 281 (Mad) and R.C. Chemicals Industries v. CIT (1982) 134 ITR 380 (Del) wherein it was held that depreciation on plant & machinery will have to be allowed in the context of business carried out by the assessee. It was contended that the assessee could not have operated without installing the effluent treatm…

ACIT, Mangalore vs. M/S Corporation Bank, Mangalore

In the result, appeal of the revenue stands dismissed

ITA 1264/BANG/2013[2011-12]Status: DisposedITAT Bangalore11 Mar 2015AY 2011-12

Bench: Shri Rajpal Yadav & Shri Abraham P George

For Appellant: Shri S. Ananthan, CAFor Respondent: Dr. P.K.Srihari, Addl.CIT
Section 36(1)Section 36(1)(vii)Section 36(1)(viia)Section 36(1)(viiia)

…ing so as to not only mean and comprehend such things as they signify according to 45 ITA Nos.1264 & 1352(B)/13 their nature and import, but also things which the interpretation clause declares that they shall include. (see CIT versus Taj Mahal Hotel, (1971) 3 SCC 550). But, this may not always be the case and in certain cases, the expression "includes" has been construed as "equivalent to" and, therefore, given a narrower meaning (see South Gujarat Roofing Tiles Manufacturers Association versus State of Gujarat and Others AIR 1977 SC 90). Thus, the word "includes" can be used in the sense of the word "means". T…

The Commissioner of Income Tax-II vs. Jds Apparels Private Limited

ITA/608/2014HC Delhi18 Nov 2014
Section 133ASection 143(3)Section 194DSection 194HSection 260ASection 40

…he words or phrases occurring so as to not only mean and comprehend such things as they signify according to their nature and import, but also things which the interpretation clause declares that they shall include. (see CIT versus Taj Mahal Hotel, (1971) 3 SCC 550). But, this may not always be the case and in certain cases, the expression “includes” has been construed as “equivalent to” and, therefore, given a narrower meaning (see South Gujarat Roofing Tiles Manufacturers Association versus State of Gujarat and Others AIR 1977 SC 90). Thus, the word “includes” can be used in the sense of the word “mean…

Shanti Bhushan vs. Commissioner of Income Tax

ITR-230/1994HC Delhi31 May 2011
For Appellant: Mr. S.K.PathakFor Respondent: Ms. Rashmi Chopra
Section 144Section 256(2)Section 31Section 37

…have some degree of durability, as for instance, in Hinton v. Maden & Ireland Ltd., (1960) 39 I.T.R. 357 (HL), knives and lasts having an average life of three years used in manufacturing shoes were held to be plant. In C.I.T. v. Taj Mahal Hotel : [1971] 82 ITR 44(SC), the respondent, which ran a hotel, installed sanitary and pipeline fittings in one of its branches in respect whereof it claimed development rebate and the question was whether the sanitary and pipe-line fittings installed fell within the definition of plant given in Section 10(5) of the 1922 Act which was similar to the definition given…

Ramala Sahkari Chini Mills Ltd Through Its General Manager vs. Commr.of Central Excise

C.A. No.-003976-003976 - 2007Supreme Court29 Nov 2010
Section 11ASection 35

…orenoted decisions, it appears that by employing the phrase “and includes”, legislature did not intend to impart a restricted meaning to the definition of “inputs” and therefore, the interpretation of the said term in Maruti 5 (1971) 3 SCC 550 6 (1997) 9 SCC 71 7 (2004) 5 SCC 632 8 (1976) 4 SCC 601 9 (2003) 1 SCC 81 10 (2008) 10 SCC 227 13 Suzuki Limited (supra), may require reconsideration by a larger bench. 17. Accordingly, we direct that the papers of these cases be placed before the Hon’ble Chief Justice of India for constituting a larger bench. .………………………………………

Commissioner of Income-Tax(Central) vs. M/S. Gwalior Rayon Silk Mfg.(Wvg.)Co.Ltd

The appeal is partly allowed

C.A. No.-002916-002916 - 1980Supreme Court29 Apr 1992
For Respondent: GWALIOR RAYON SILK MANUFACTURING CO. LTD
Section 256(1)Section 256(2)Section 32

…n specifically defined to include road in the Act must taken in the legal sense. [1027 D] 7. Section 32 provides depreciation of capital assets in respect of buildings, machinery, plant or furniture. [1027 E] C.I.T. v. Taj Mahal Hotel, [1971] 82 ITR 44; Municipal Corporation of Greater Bombay & Ors. v. Indian Oil Corporation Ltd., JT (1990) 4 SC 533 and C.I.T. v. Ram Gopal Mills Ltd., 4 ITR 280, referred to. 8. Depreciation allowance is in respect of assets used in the business and has to be calculated on the written down value. The allowance towards depreciation is for t…