S.A. Hakeem, J.—In these references made under section 256(1) of the Income Tax Act, 1961 ("the Act"), the Income Tax Appellate Tribunal, Bangalore Bench, has referred the following common questions of law for the opinion of this court :

"(1) Whether, on the facts and in the circumstances of the case, the entire cinema theatre comprising each and every part of the theatre, whether it is within the auditorium portion of it or outside it, including rolling shutters, fountains, mirrors, furniture and fixtures, etc., outside the auditorium is 'plant' for the purposes of the Act or only certain parts of the theatre are plant ?

(2) Whether, on the facts and in the circumstances of the case wall, ceiling, including wooden walls, false ceiling, and wooden panelling of the auditorium and furniture and fixtures including chairs in the auditorium could be treated as plant ?"

2. The brief facts giving rise to the above questions are as follows :

The assessee is a partnership-firm carrying on the business of exhibiting films in the cinema building owned by it. For the assessment years 1975-76 and 1976-77, the assessee claimed that the cinema building, furniture and fixtures, etc., shoul