LAWS(MPH)-1983-4-29

SHANTILAL Vs. COMMISSIONER OF INCOME TAX

Decided On April 04, 1983
SHANTILAL Appellant
V/S
COMMISSIONER OF INCOME-TAX Respondents

JUDGEMENT

(1.) BY this reference under Section 256(1) of the I.T. Act, 1961 (hereinafter referred to as "the Act"), the Income-tax Appellate Tribunal, Indore Bench, has referred the following questions of law to this court for its opinion :

(2.) WHETHER, on the facts and in the circumstances of the case, the learned Tribunal was right in holding that although minors' income would be clubbed in the hands of the assessee by the fiction created by Section 64(1)(iii) of the I.T. Act, 1961, yet the advance tax paid by the minors cannot be adjusted towards the tax assessment when the minors' income is below the taxable limit ?"

(3.) AS regards question No. 2, learned counsel for the assessee was unable to point out any provision of the Act by virtue of which the advance tax paid by a minor son could be adjusted towards the tax liability of the father when the minor son's income was below taxable limit. The Tribunal rightly observed that it would be for the minor sons of the assesses to apply for refund of advance tax. Our answer to question No. 2 is in the affirmative and against the assessee.