COMMISSIONER OF INCOME TAX Vs. UNION FLOUR MILLS

JUDGEMENT

(1.) THE following question has been referred under S. 256(1) of the INCOME TAX ACT, 1961, for the opinion of this Court :

(2.) WE have heard Mr. S. L. Jain, learned counsel appearing on behalf of the assessee, and Mr. D. K. Talukdar, learned standing counsel appearing on behalf of the Department. Mr. Jain has placed before us a decision in Garden Silk Weaving Factory vs. CIT (1991) 94 CTR (SC) 136 : (1991) 189 ITR 512 (SC). In the said decision, the Supreme Court observed that (at p. 531) :

(3.) GOING through the question referred and the facts and circumstances of the case, we find that this is covered by the aforesaid decision of the apex Court. Accordingly, we answer the question in the affirmative, that is, in favour of the assessee and against the Department.