COMMISSIONER OF INCOME TAX Vs. MUSADDI LAL SINGH

JUDGEMENT

(1.) THE Income-tax Appellate Tribunal (Delhi Bench) has stated the case and has referred the following question of law for the opinion of this court:

(2.) THE assessee is a registered firm carrying on business as a country liquor contractor. THE assessment year in question is 1964-65. THE corresponding previous year ended on March 31, 1964. As against the returned income of Rs. 15,539 the Income-tax Officer determined the total income of the assessee at Rs. 58,510. This included a sum of Rs. 52,000 representing net profit from liquor business arrived at by applying a profit rate of 8% on the estimated sale turnover of the assessee, amounting to Rs. 6,50,000, In appeal, the assessment was confirmed by the Appellate Assistant Commissioner. THE Income-tax Appellate Tribunal, however, modified the assessment and estimated assessee's total income as Rs. 41,669.