FAKRI AUTOMOBILES Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) IN compliance with the order dated September 12, 1978, of this court passed in D.B. INcome-tax Case No. 2 of 1976, the INcome-tax Appellate Tribunal, Jaipur Bench, Jaipur (" the Tribunal " herein), has referred the following three questions for our opinion :

(2.) WHETHER the Income-tax Appellate Tribunal was, at any rate, justified in holding that the aforesaid sum of Rs. 14,026 was liable to be included in the total income of the applicant-firm as ' income from undisclosed sources ' ?

(3.) THE word " expenditure " has not been denned in the Act. THE various expenditures of which deductions are allowable are dealt with in Sections 30 to 37 of the Act and Section 40A(3) deals with only those deductions. THE word " expenditure " in some other context was referred to by the Supreme Court in Indian Molasses Co. (Private) Ltd. v. CIT [1959] 37 ITR 66 and it was observed therein as follows (headnote):