COMMISSIONER OF INCOME TAX Vs. TAPANG LIGHT FOUNDRY

JUDGEMENT

(1.) In the instant reference the following questions have been referred to us for answer :

(2.) Whether, on the facts and in the circumstances of the case, the Tribunal was justified in holding that it was the shebaits who have become the partners in the firm on behalf of the deities."

(3.) The assessee felt aggrieved by the assessment order and took the matter up to the AAC who, after considering the factual as well as legal positions, came to the conclusion that the firm was entitled to registration. He held that the idol is an infant, and not sui juris and, according to him, when Hindu deities were capable of holding extensive properties they could also become partners in firms. He accordingly allowed the appeal of the assessee.