(1.) THIS reference is at the instance of the Revenue and is under Section 27(3) of the Wealth-tax Act, 1957. The question of law referred is as follows :
(2.) THE facts of the case are as follows :
(3.) SRI Ravindranatha Menon brought to our notice a decision of the Supreme Court in CWT v. K. S. N. Bhatt [1984] 145 ITR 1, That case relates to the Wealth-tax Act. Learned counsel brought to our notice the following observations from the above judgment (page 4) :