COMMISSIONER OF INCOME-TAX Vs. RAZA TEXTILES LTD

JUDGEMENT

(1.) These two connected applications under Section 256(2) of the Income-tax Act, 1961 (" the Act " for short), have been filed by the Revenue, praying for a mandamus directing the Income-tax Appellate Tribunal, Allahabad Bench, to refer the questions set out below for the opinion of this court. These questions arise out of a consolidated order passed by the Income-tax Appellate Tribunal, deciding two cross-appeals, one filed by the assessee and the other by the Revenue, in respect of the assessment year 1981-82. The questions referred to in these applications are similar and identical in nature and are to the following effect: " 1. Whether, on the facts and in the circumstances of the case, the Tribunal was correct in law in ignoring the fact that the assessee had not established the genuineness and nature of the payment and, as such, had failed to discharge the onus for deduction of the payment in computing the business income ?

(2.) Whether, on the facts and in the circumstances of the case, the Tribunal was correct in law in admitting the claim for payment of incentive bonus over and above the admissible bonus under the Payment of Bonus Act ?

(3.) Whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was correct in law in stating that if a particular payment does not fall within the first proviso, it can still be considered under the second proviso to Section 36(1)(ii) of the Actor even under Section 37(1) of the Act ?