Tribunal findings on reappraised evidence remain binding in reference unless based on irrelevant or missing material.

A Tribunal's factual finding on reappraisal of evidence is binding in reference proceedings unless it is shown to rest on irrelevant material, exclude relevant material, or be unsupported by admissible evidence. The Court will not reweigh evidence or sit in appeal over such findings. A new factual contention not raised before the tax authorities and not arising from the referred question could not be entertained. As the Tribunal had considered the diary, statements, and oral testimony, its conclusion was not shown to suffer from any legal infirmity and was upheld against the assessee.

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Issues: Whether the Tribunal's finding that Rs. 1,42,706 had not been incurred for loading and unloading was vitiated because it rested on unwarranted assumptions, inadmissible evidence, or failure to consider relevant material.

Analysis: The Tribunal reappraised the evidence, including fortnightly and final statements, the diary, and oral testimony, and reached a factual conclusion different from that of the Appellate Assistant Commissioner. In reference jurisdiction, the Court does not sit in appeal over findings of fact. Such findings are binding unless shown to be based on irrelevant material, excluded relevant material, or unsupported by any admissible evidence. The assessee's new factual contention could not be entertained because it had not been raised before the tax authorities and did not arise from the question referred. On the record, the Tribunal had considered the material and its conclusion was not shown to suffer from any legal infirmity.

Conclusion: The question was answered in the negative. The finding of the Tribunal was upheld and the issue was decided against the assessee.

Ratio Decidendi: A Tribunal's finding of fact on reappraisal of evidence is binding in reference unless it is shown to rest on irrelevant material, omit relevant material, or proceed on unwarranted assumptions.

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