BHARAT STORES LIMITED Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS is a reference made by the Income-tax Appellate Tribunal (Delhi Bench) - hereinafter referred to as the Tribunal - to this court under the provisions of section 66(2) of the Income-tax Act (hereinafter referred to as the Act).

(2.) THE reference has been made at the instance of the assessee, Bharat Stores Ltd. Agra (hereinafter referred to as the assessee). This case relates to the assessment made in the year 1947-48, the relevant previous year being the one ending on June 30, 1946.

(3.) THE Income-tax Officer added back the amount of Rs. 50,000 to the profit of the assessee. THE assessee appealed to the Appellate Assistant C commissioner who dismissed the appealed to the Appellate Assistant second appeal before the Tribunal. THE tribunal dismissed the appeal after observing as follows :