COMMISSIONER OF INCOME TAX Vs. ALLIED SILK MILLS

JUDGEMENT

(1.) IN this reference under S. 256(1) of the IT Act, 1961, the questions referred to us for our opinion are as follows :

(2.) ON hearing the points at issue between the parties, we think that instead of the said three questions, only one question framed by us below would cover fully the controversy. The question as re framed by us would be as follows :

(3.) PURSUANT to the notice by the ITO dated 4th July, 1961, under S. 22(2) of the Indian IT Act, 1922, calling upon the assessee firm to file its return in respect of the asst. year 1961 62, the assessee did not file its return in time which, in the ordinary course, it should have filed by 19th August, 1961. However, the assessee filed the return on 30th August, 1962, that is, after a delay of one year and 11 days. In the said return the assessee firm showed its income as Rs. 21,219, below the taxable income for firms. The ITO, however, did not accept the said return, and, for various reasons, assessed the income of the assessee at Rs. 1,23,001.