Factual finding on business-connected tour expenses defeats reference; no question of law arose on weighted deduction claim.

The Tribunal's allowance of tour expenses and weighted deduction under section 35B was sustained as a factual finding that the expenditure was connected with the assessee's business, based on the voucher evidence and surrounding circumstances, including partial allowance by the Assessing Officer. Because the conclusion turned on appreciation of material on record and the expenditure was treated as incidental to business, no question of law arose for reference under section 256(2). The reference application was therefore dismissed.

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Issues: Whether a question of law arose from the Tribunal's finding allowing deduction of tour expenses and weighted deduction under section 35B, so as to justify a reference under section 256(2) of the Income-tax Act, 1961.

Analysis: The Tribunal had accepted the expenditure as connected with the assessee's business on the basis of the voucher on record and the surrounding circumstances, including partial allowance of the tour expenses by the Assessing Officer. That appreciation of evidence led to a factual finding that the expenditure was incidental to the business and that the weighted deduction claim followed from that finding.

Conclusion: No question of law arose, as the Tribunal's view was based on a finding of fact supported by material on record. The application for reference was dismissed.

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