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Judgment
Dr. T. Kochu Thommen, J.—Heard counsel on both sides. From the facts stated by the Tribunal and found by the authorities, it appears to be beyond doubt that the plant and machinery had been purchased subsequent to the date of devaluation of Indian currency which occurred on June 6, 1966. It is also not disputed that the prices for the said plant and machinery had been paid by the assessee in English currency out of funds retained by it in England prior to the date of devaluation. On the basis of these facts, there is no doubt that, for the. purpose of Section 43(1) of the income tax Act, 1961, the actual cost incurred by the assessee is the equivalent in Indian currency of the amounts paid in sterling at the rate of exchange current on the relevant dates of purchase subsequent to devaluation. On the basis of these facts and in view of Section 43, we see no reason to doubt the correctness of the conclusion reached by the High Court.
Accordingly, the appeals are dismissed. No costs.