COMMISSIONER OF INCOME TAX Vs. JIBIE K JOHN

JUDGEMENT

(1.) THE Income -tax Appellate Tribunal, Cochin Bench, has referred the following three questions of law for decision by this court :

(2.) THE brief facts are as follows :

(3.) SRI John Ramesh, learned counsel appearing for the assessee, on the other hand, submits that the reference itself is incompetent in view of the Circular No. 1903, dated October 28, 1992, and Instruction No. 1777 dated November 4, 1987, as per which no reference application can be filed by the Department where the pecuniary limit was below Rs. 50,000. Counsel submits that in the instant case, as per the order of the Assessing Officer giving effect to the first appellate authority's order, the tax liability is only Rs. 46,079. Counsel on the merits of the case submitted that the Tribunal had found as a fact that the assessee had agricultural income from 4 acres and 81 cents of land owned by him and that in the absence of a challenge to the said finding of fact as perverse, this court in reference will not interfere with the findings of fact entered by the Tribunal. Counsel in support of the said proposition has relied on the three judges' Bench decision of the Supreme Court in K. Ravindranathan Nair v. CIT [2001] 247 ITR 178. Counsel submits that the Tribunal had considered all the materials placed before it and came to the conclusion that the cash flow statement in regard to the sum of Rs. 80,000 was found to be acceptable, which finding has not been specifically challenged as perverse.