NIRMALDAS JASSUMAL Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS is an application under s. 256(2) of the IT Act, 1961 (hereinafter referred to as " the Act").

(2.) THE material facts giving rise to this application, briefly, are as follows : THE applicant is a registered partnership firm carrying on business at Indore, While framing the assessment of the assessee for the asst. yr. 1978-79, the ITO held that the sum of Rs. 35,000 credited in the account of Smt. Shilabai, wife of Parasram, one of the partners, was not satisfactorily explained and the amount was, therefore, includible in the income of the assessee. Aggrieved by that order, the assessee preferred an appeal before the AAC, who allowed the appeal. On further appeal by the Revenue before the Tribunal, Indore Bench, the Tribunal set aside the order passed by the AAC and held that the ITO had rightly taxed the sum in question as the assessee's income under s. 68 of the Act. THE application for making a reference submitted by the assessee was rejected. Hence, the assessee has filed this application.

(3.) THE application is accordingly allowed. THE Tribunal is directed to state the case and to refer the aforesaid question of law to this Court for its opinion. In the circumstances of the case, the parties shall bear their own costs of this application.