COMMISSIONER OF INCOME TAX Vs. DALMIA R

JUDGEMENT

(1.) THE assessee was originally assessed for the asst. yr. 1953-54 on March 28, 1958. As a result of certain observations made by the AAC in the appellate order in respect of the asst. yr. 1954-55, a notice was issued under s. 148 of the IT Act, 1961, with the previous approval of the CBDT. Two sums, which were treated as unexplained credits showing income from undisclosed sources, were added to the assessee's income. THE first sum of Rs. 93,000 was received from M/s Dalmia Cement and Paper Marketing Co. Ltd. and the second sum of Rs. 5,51,400 was received from M/s R. K. Relhan and Co., Stock Brokers. THE assessee's explanation that the first sum was received as a result of debit notes and the second sum was received as a result of the sale of the shares of the Lahore Electric Supply Co. Ltd. was rejected. THE AAC sustained the addition. THE following question has been referred to us under s. 256(1) of the Act:

(2.) THE facts and circumstances of the case relating to the two credits were elaborately examined by the ITO as well as the AAC, but the Tribunal decided the assessee's appeal in his favour on a legal issue without going into the merits of the two additions to the assessed income. We are not setting out the facts relating to the two amounts involved in any detail as it is not necessary in view of the order that has to be passed in this case.