Judgment

R.C. Lahoti, J.-The appellant-assessee is a private limited company. During the assessment year 1981-82 (accounting year ending on 31.3.1981) the assessee had purchased for the use of its staff seven low income group houses from the Housing Board. The assessee had made part payments and was in turn made allotment of the houses followed by delivery of possession by the Housing Board. The actual deed of con­veyance was not yet executed by the Housing Board in favour of the assessee. The assessee made a claim under Section 32 of the Income-tax Act in respect of depreciation of buildings used for the purpose of the business of the assessee. The claim was rejected by the assessing officer forming an opinion that the assessee had not become owner for want of deed of conveyance in its favour. The Commissioner of Income-tax allowed the appeal preferred by the assessee and directed the assessing officer to allow the assessee’s claim for depreciation inasmuch as the company was acting as the owner and could exercise the rights of the owner qua the houses. The Tribunal in an appeal pre­ferred by the Revenue set aside the decision of the CIT. On an appli­cation under Section 256(1) of