RAM ARORA Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS is a reference under Section 66 of the Indian Income-tax Act, 1922 (hereafter referred to as the Act). Shri Ram Arora is the assessee. He has been assessed as an individual for the assessment year 1950-51. The relevant accounting period was from December 13, 1948, to August 29, 1949.

(2.) THE assessee carried on business in foodgrains. He had also some business in brick-kiln. He had some income from immovable property. In the present reference we are largely concerned with the assessee's business in foodgrains,

(3.) THE assessee applied to the Tribunal for referring certain questions of law to this court. THE application was dismissed by the Tribunal. THE assessee, therefore, applied to this court under Section 66(2) of the Act. That application was allowed by this court. THE court directed the Tribunal to state a case and refer a certain question to this court. In accordance with that direction, the Appellate Tribunal, Delhi Bench "A", has referred the following question of law to this court ;