COMMISSIONER OF INCOME TAX Vs. PARANJOTHI SALT CO

JUDGEMENT

(1.) IN this tax case, the following questions are referred to this court for opinion :

(2.) IT is noticed that the Tribunal has not recorded any finding as to whether the instrument in question can be construed as a hundi or a pronote. Such a finding is necessary for the purpose of section 69D of the Income-tax Act. If it is held that the instrument is a pronote, the amount covered by the pronote cannot at all be included as an income for the purpose of assessment under section 69D of the Act, as held by a Division Bench of this court in CIT v. Paranjothi Salt Co. [1995] 211 ITR 141. As the Tribunal has not recorded the necessary finding, it is not possible to answer the questions referred to us.