JAGANNATH MAHADEO PRASAD Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS is a reference at the instance of the assessee under Section 66(1) of the Indian Income Tax Act.

(2.) THE assessee, an individual, enjoyed income from property, shares in joint stock companies, commission agency and also as partner in a number of firms. He submitted a return of his income for the assessment year 1953-54, disclosing a net profit. This profit was computed after setting off a loss from his share in one of the partnership firms, Kamta Prasad Reghunath Prasad, the loss being determined by taking into account ft sum of Rs. 8,669/- representing the net low suffered by him in speculative transactions and paid through that firm.

(3.) THE first proviso was omitted by the Schedule to the Taxation Laws (Extension to Jammu and Kashmir) Act, 1954, and in the second proviso, which now became the first proviso, the word "further" was in consequence omitted. THE question framed by the Appellate Tribunal refers to the first proviso to Section 24(1), but it is apparent that reference was actually intended to the provision which was the second proviso to that sub-section as it stood during the assessment year 1953-54.