COMMISSIONER OF INCOME TAX Vs. KALINGA TUBES

JUDGEMENT

(1.) THIS is an application under Section 256 of the Income-tax Act, 1961, to call upon the. Appellate Tribunal to state a case on the following question of law and refer the same to this court :

(2.) THE aforesaid amount was shown in the books of account of the assessee-opposite party as receipt, from (sic ) Kalinga Foundation Trust. THE same was disallowed by the Income-tax Officer on the ground that the trust had no independent and separate identity of its own and treated the amount as an income of the assessee from undisclosed sources. THE appeal carried by the assessee was allowed and in further appeal by the Revenue, the Tribunal, following the decision in CIT v. Biju Patnaik [1974] ILR (Cuttack) 374, that Kalinga Foundation Trust was an independent and separate entity, negatived the plea of the Revenue. An application filed by the Revenue for making a reference was rejected. Hence, this application to call for a statement of case and reference of the question.