COMMISSIONER OF INCOME TAX Vs. SERWAREY J S

JUDGEMENT

(1.) THE Income Tax Appellate Tribunal, Gauhati Bench, has referred the following question of law under Section 256(1) of the Income Tax Act, 1961 (hereinafter referred to as "the Act"), to this court for decision :

(2.) THE facts, on the basis of which the abovementioned question of law has been referred, may be stated as follows. The assessee is a building contractor. He is a retired officer of the military engineering service and he started business of executing constructional contract works under the military authorities but he did not produce any books of account before the Income Tax Officer on the ground that he was not maintaining any account books.

(3.) SIMILARLY , for the assessment year 1966 -67 the Income Tax Officer estimated the profit at 12 1/2% on the gross contract receipts before allowing depreciation and thus calculated the income from contract work at Rs. 97,871 before allowing depreciation for the assessment year 1966 -67.