CIT Vs. SWADESHI MINING & MFG. CO. LTD

JUDGEMENT

(1.) THE Income Tax Appellate Tribunal, Allahabad has referred the following two questions of law under section 256(1) of the Income Tax Act, 1961, hereinafter referred to as 'the Act', for opinion to this Court. '1. Whether in law and in the circumstances of the case, the Hon'ble Income Tax Appellate Tribunal was justified in confirming the decision of the learned CIT(A), holding that the sum of Rs. 38,91,216 realised by the assessee in excess of the sale price fixed by the Government, was not a trading receipt in the assessment year under consideration?

(2.) WHETHER in law and on facts of the case, the Hon'ble Income Tax Appellate Tribunal was justified in confirming the learned CIT(A)'s decision allowing the assessees claim of Rs. 6,27,253 on account of interest on excess collection of levy sugar price?' 2. The present reference relates to the assessment year 1981 -82.

(3.) WE have heard Sri A.N. Mahajan, learned Standing counsel for the revenue. Nobody has appeared on behalf of the respondent -assessee.