SIRKER N R Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE following questions of law have been referred by the Income-tax Appellate Tribunal, Gauhati Bench (hereinafter referred to as "the Tribunal"), to the High Court under section 256(1) of the Income-tax Act, 1961 (hereinafter referred to as "the Act") :

(2.) THE assessee is an individual. THE dispute relates to the assessment years 1964-65, 1965-66 and 1966-67 and the corresponding previous years were financial years 1963-64, 1964-65 and 1965-66. During these years, the assessee was carrying on the business of supplying provisions of meat, vegetables, etc., to the various Government and military authorities under contracts obtained from them. No proper accounts were kept by the assessee.

(3.) IN the financial year 1965-66, corresponding assessment year being 1966-67, the assessee secured various contracts for supplies of vegetables, fruits, etc., to the army authorities during the period from April 1, 1965, to March 31, 1966. Some of these contracts were transferred to M/s. Manilal Gupta & Co. for a consideration of Rs. 50,000, vide agreement dated April 1, 1965. The consideration Rs. 50,000 was to be paid by M/s. Manilal Gupta & Co. to the assessee by way of deduction from the payment in respect of supplies made during March, 1966, received by the assessee on behalf of M/s. Manilal Gupta & Co. from the army authorities.