HANUTRAM CHANDANMUL Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE assessee is a firm Hanutram Chandanmal of Kishunganj. THE books of account for the year ending Chait Sudi 8,2004 Samvat disclosed sales of silver to the extent of Rs 2,04, 545 and the gold to the extent of Rs 2,34,344. THE account books disclosed a gross profit of Rs. 9,710. THE Income-tax Officer, however, rejected the books of account and estimated the total sales of bullion at Rs. 4,50,000 and profit at 5 per cent. In result, the Income Tax officer added a sum of Rs. 12,800 to the income as disclosed by the books of account. THE assessee took an appeal to the Appellate Assistant Commissioner but the appeal was dismissed. A further appeal was taken to the Income-tax Appellate Tribunal. THE, Judicial Member was of opinion that the Income-tax officer was right in applying the proviso to Section 13, but the Accountant Member stated as follows:

(2.) AT the instance of the assessee the Income-tax Appellate Tribunal has formulated the following questions of law for the opinion of the High Court; (1) whether the order of the President of the Tribunal is in accordance with law? and (2) whether the assessment can be legally completed in accordance with the direction contained in the order of the President of the Tribunal?

(3.) IN the special circumstances of this case we do not propose to make any order as to the costs of this reference.