2002 (4) TMI 9 - HC - Income Tax

High Court rejects reference applications under Income-tax Act for assessment years 1981-82 & 1982-83.

The High Court of Rajasthan rejected two reference applications under section 256(2) of the Income-tax Act, 1961, for the assessment years 1981-82 and ... Additions on account of alleged unexplained investment in the money-lending business - Before the Income-tax Appellate Tribunal, it was contended that the Assessing Officer has committed error in taking the debit side only, he could take into account the peak credit. This contention was accepted and worked out the peak credit of Rs. 48,000 out of the addition of Rs. 78,000 made by the Assessing Officer. Thus, the Tribunal sustained the addition only to the extent of peak credit of Rs. 48,000 - Held that no referable question arises from the order of the Tribunal – Revenue’s appeal is dismissed The High Court of Rajasthan rejected two reference applications under section 256(2) of the Income-tax Act, 1961, pertaining to the assessment years 1981-82 and 1982-83 for the same assessee, Ishwardass Mutha. The court upheld additions made by the Assessing Officer but reduced one of them based on peak credit calculation. The court found no referable question from the Tribunal's order and rejected both reference applications.