SANKARANARAYANA TRANSPORTS Vs. CIT KERALA

JUDGEMENT

(1.) This is a reference by the Income Tax Appellate Tribunal, Madras Bench, under S.66(1) of the Indian Income Tax Act, 1922. The assessment year with which we are concerned is 1957-58 and the accounting period, the 12 months ended on 30th September 1956.

(2.) Two questions have been referred for decision. They are:

(3.) Sub-s.(1) of S.10 provides that the tax shall be payable by an assessee under the head Profits and gains of business, profession or vocation, in respect of the profit or gains of any business, profession or vocation carried on by him. Sub-s.(2) of the section makes provision for the allowances enumerated therein. The relevant portion of sub-s.(2) reads as follows: