COMMISSIONER OF INCOME TAX Vs. BHAICHAND TEXTILE MILLS

JUDGEMENT

(1.) THE question posed at the instance of the Revenue in this reference under S. 256(1) of the IT Act, 1961, reads thus:

(2.) THE question pertains to the asst. year 1969 70. The assessee is a firm. It came into existence by reason of articles of partnership dated August 28, 1968. Clauses 5, 6 and 7 are material. They are as follows:

(3.) THE assessee appealed to the Tribunal. The Tribunal, following the decision of this Court in Imdadali Tayabai vs. CIT (1972) Tax LR 655, held that the non specification in regard to the sharing of losses did not debar the assessee from being registered.