SUNDARESWARAN N Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) AN exporter-firm is the assessee in the above tax references. The assessment is for the year 1978-79, the accounting period for which ended on December 31, 1977. The assessee as well as the Revenue being aggrieved by the order passed by the Commissioner of Income-tax (Appeals), Ernakulam, filed appeals before the Income-tax Appellate Tribunal as I. T. As. Nos. 243/(Coch) of 1982 and 402/(Coch) of 1982. Those appeals were disposed of by the Tribunal by a common order dated July 16, 1984. These two references arise from the said common order of the Tribunal.

(2.) AT the instance of the assessee four questions are referred to us for decision. Those questions mainly relate to the claim of deduction of damages occurred during the relevant accounting year. Likewise one question is referred to us for answer at the instance of the Revenue and it relates to the claim of "weighted deduction" under Section 35B of the Income-tax Act, 1961 (hereinafter referred to as "the Act").

(3.) IT is necessary to examine as to how the above claim has been dealt with by the Income-tax Officer in the assessment order passed by him on September 4, 1981. The relevant portion of the assessment order is extracted below :