COMMISSIONER OF INCOME TAX Vs. NARASIMHAN P V

JUDGEMENT

(1.) AT the instance of the Revenue, the Income-tax Appellate Tribunal, Madras Bench "C", Madras, has referred to us for our opinion the following question of law, under section 256(1) of the Income-tax Act, 1961 (hereinafter called "the Act") :

(2.) THE brief facts leading to this reference are the following :

(3.) MR.Janarthana Raja, learned counsel for the assessee, submitted that the distinction made by learned counsel for the Revenue, as mentioned above, is not at all warranted and the principles of those cases squarely apply to the facts of this case. In addition to the three judgments referred to above, learned counsel for the assessee also cited a recent decision of the Gujarat High Court in CIT v. Kodandas Chanchlomal reported in [1985] 155 ITR 273 and in this case all the three judgments mentioned above have been noticed.