BASTIRAM NARAYANDAS MAHESHRI Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS IT reference relates to the asst. year 1964 65 for which the corresponding previous year is Samvat Year 2019.

(2.) THE assessee company herein is one of the leading manufactures of bidis in the State of Maharashtra. Its head office is at Sinnar in Nasik district. The assessee has got a number of factories at Sangamner, Sinnar, Ahmednagar, Nizamabad and other places and the villages surrounding each of these places. In all, the assessee claims to have 130 such factories. The assessee has several branches with the head office at Sinnar.

(3.) SEPARATE books of accounts for each of these branches were kept by the assessee. The bidis manufactured in the village factories were sent to each of the respective branches which had supplied them with raw material for the manufacture of bidis. All the profits of the assessee were accounted for in the account books of the assessee at its head office at Sinnar.