KISHANDAS DILBERDAS Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) BY this reference under section 66(1) of the Indian Income -tax Act, 1922 (hereinafter referred to as 'the Act') the following two questions are referred for our determination at the instance of the assessee :

(2.) WHETHER , on the facts and in the circumstances of the case, the assessee was entitled to a set -off in respect of the loss determined under section 10 of the Act including therein unabsorbed development rebate of Rs. 65,484 relating to the assessment years 1957 -58 and 1958 -59 and pertaining to the business carried on by him as sole proprietor against his share of income for assessment years 1959 -60 and 1960 -61 from the same business converted into partnership firms, consisting of himself and his sons ?'

(3.) FOR the assessment year 1959 -60 and 1960 -61 to which this reference relates, the assessee was only a partner in the two business and his total income for these two years as finally determined included the amount of Rs. 64,714 being his share of the profit from those firms for the assessment year 1959 -60 and the amount of Rs. 1,03,541 being the share of his profit from those firms for the assessment years 1960 -61.