COMMISSIONER OF INCOME TAX Vs. MITHALAL ASHOK KUMAR

JUDGEMENT

(1.) It is a reference under section 256 of the Income Tax Act, 1961 by the Income Tax Appellate Tribunal, Indore Bench, Indore, by which following question of law has been referred for the opinion of this Court :-

(2.) The facts of the case as emerging in the order passed by the Tribunal are as under :-

(3.) The matter relates to the assessment year 1982-83, in which the Income Tax Officer, while assessing the respondent disallowed continuation of registration of assessee and assessed the assessee as association of persons on protective basis. The finding of the Income Tax Officer in the year 1978-79 were that the business of the assessee belongs to another firm M/s Abhay Kumar Jaswant Kumar. The income of the assessee was clubbed with that of M/s Abhay Kumar Jaswant Kumar and the assessee was assessed on protective basis in the status of A.O.P. In appeal the AAC following the order of Tribunal dated 13.9.1982 in I.T.A.No.744/Ind/81 relating to the same assessee for the assessment year 1978-79 had held that the assessee M/s Mithalal Ashokumar was a genuine firm and directed I.T.O., to grant registration to the assessee and also allowed the appeal on the question of quantum.