COMMISSIONER OF INCOME TAX Vs. KIDWAI U M

JUDGEMENT

(1.) THE following question has been referred under Section 256(1) of the Income-tax Act, 1961, for the opinion of this court :

(2.) WE have heard Dr. A.K. Saraf, counsel appearing for the assessee, and Mr. G.K. Joshi, senior standing counsel for the Revenue. Dr. Saraf submits that this case is squarely covered by the decisions in K.S. Krishna Rao v. CIT, 1990 181 ITR 408 and Kama Bai v. CIT, 1990 181 ITR 400 . WE have perused the said judgments and find that the proposition of law laid down by the apex court in the said decisions is applicable in this case. Following the decisions in the said cases, we answer the question in the affirmative, i.e., in favour of the assessee and against the Revenue.