COMMISSIONER OF INCOME TAX Vs. KARAM CHAND GOEL

JUDGEMENT

(1.) THIS is a reference under s. 256(1) of the IT Act, 1961. In the instant reference the following questions of law have been referred to us for our opinion :

(2.) SRI Bharatji Agarwal has put in appearance for the Department but none has appeared for the assessee although an affidavit of service has been filed. The relevant assessment years are 1975-76 and 1976-77. During these years the assessee claimed deduction under S. 80C of the IT Act, 1961, and the question is whether borrowed capital is to be included in the capital for the purposes of S. 80J.

(3.) THE reference is decided accordingly.