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(c) mining; or

(d) the construction of ships; or (da) the business of ship-breaking; or

(e) the operation of ships or aircrafts or construction or operation of rail systems.

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IT(TP)A No.446 & 593/Bang/2020 12.2 The above definition includes the manufacture of computer software as an industrial undertaking. Since the term "industrial undertaking" is not specifically defined for the purposes of Section 80JJAA of the Act or any other relevant provisions of the Act, we are inclined to rely on the definition provided under Section 10(15) of the Act. The appellant assessee is engaged in the development of computer software, IT-enabled services, and the development of embedded software for automobile components and accessories, which, in our considered opinion, falls within the definition of an industrial undertaking.

18.1 The assessee also cited the judgment of the Hon'ble Karnataka High Court in CIT vs. Datacons Pvt. Ltd. (21 taxman 341), and the Hon'ble Delhi High Court in CIT vs. Radio Today Broadcasting Ltd. (64 taxmann.com 164).

18.2 Additionally, the assessee referred to the definition of "activity of article or thing or operation" under the 14th Schedule of the Act, which includes "electronics, including computer hardware and software, and information technology-related industries."

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IT(TP)A No.446 & 593/Bang/2020 18.3 Further, the assessee submitted that the Income Tax Rules classify fixed assets into four categories: Building, Furniture & Fixtures, Plant & Machinery, and Ships. Plant & Machinery is further subdivided into different classes, each subject to different depreciation rates. Computers and computer software are included in the plant & machinery category and depreciated at higher rates. Therefore, the fact that computers and computer software are depreciated at a higher rate does not mean that they are not considered plant & machinery.