COMMISSIONER OF INCOME TAX Vs. DAS BROTHERS

JUDGEMENT

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

(2.) THE assessee is a firm carrying on business in bins and some other articles. For the assessment year 1968 -69 it filed a return showing an income of Rs. 38,200. The return was accompanied by a copy of the trading account, profit and loss account and the balance -sheet. During the course of examination of books of account the Income Tax Officer noticed some defects in the account books. The attention of the assessee was drawn to the defects by a letter dated August 14, 1969, and it was asked to explain the various points regarding the defects. On September 22, 1969, the assessee filed a revised return showing an enhanced income of Rs. 46,992 and on the same date it also submitted a letter to the Income Tax Officer explaining how the mistakes in the account came into existence. The Income Tax Officer completed the assessment after making the following additions :

(3.) AFTER making some other additions the total income of the assessee was computed at Rs. 77,590.