IN THE HIGH COURT OF JUDICATURE AT BOMBAY IN THE HIGH COURT OF JUDICATURE AT BOMBAY IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION ORDINARY ORIGINAL CIVIL JURISDICTION ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX REFERENCE NO. 194 OF 1997 INCOME TAX REFERENCE NO. 194 OF 1997 INCOME TAX REFERENCE NO. 194 OF 1997 The Commissioner of Income-tax, Bombay City-V, Bombay. ...Applicant V/s. M/s.Ganpatrao Jaigopal. ...Respondent Mr.Pagar Vyas for Applicant. None for Respondent. CORAM : CORAM : CORAM : V.C. DAGA AND V.C. DAGA AND V.C. DAGA AND A.S. AGUIAR, JJ. A.S. AGUIAR, JJ. A.S. AGUIAR, JJ. DATED : JULY 5, 2005. DATED : JULY 5, 2005. DATED : JULY 5, 2005. P.C. :- P.C. :- P.C. :- . By this reference under Section 256(1) of the Income-tax Act, 1961, the Income Tax Appellate Tribunal has referred the following question of law for the opinion of this Court :- "1. Whether, on the facts and in the circumstances of the case, the Tribunal was right in law in holding that the assessee’s business of ship breaking should be taken as a manufacturing activity and accordingly in directing the assessing officer to allow deduction u/s. 80 HH and u/s. 80 I of the I.T. - 2 - Act?" . The above question is covered by the decision of this Court in the case of Virendra and Co. V/s. Virendra and Co. V/s. Virendra and Co. V/s. Assistant Commissioner of Income-Tax, (2001), 251 ITR Assistant Commissioner of Income-Tax, (2001), 251 ITR Assistant Commissioner of Income-Tax, (2001), 251 ITR page 806. page 806. page 806. The question referred, therefore, is answered red red in favour of the assessee and against the revenue. Reference, accordingly, stands disposed of with no order as to costs. (A.S. AGUIAR, J.) (V.C. DAGA, J.) (A.S. AGUIAR, J.) (V.C. DAGA, J.) (A.S. AGUIAR, J.) (V.C. DAGA, J.)