1979 (2) TMI 152

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....ng the financial year 1976-77, relevant to the assessment year 1977-78. On 17th April, 1976, he entered into an agreement with Sardar Blant Singh Nanda and entrusted the execution of the said work to him as his sub-contractor. According to the terms of the agreement, Sardar Blant Singh Nanda was to execute the entire work, employing his own trucks and labour etc. and that the assessee was entitled....

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.... total receipts of Rs. 9,24,209. 3. On appeal, the AAC agreed with the ITO that the arrangement evidenced by the agreement dt. 17th April, 1976 was fictitious. He, however, estimated the rate of net profit at 8 per cent and granted a relief of Rs. 18,500 to the assessee. Dissatisfied with this order, the assessee has filed the present appeal. 4. After going through record the and hearing the....

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....ed the return of his income amounting to Rs. 24,739 from this very contract and the ITO estimated the same at Rs. 36,968. In his order dated 4th March, 1978, the ITO, Survey Circle-I, Dhanbad has clearly accepted the genuineness of the agreement dated 17th April, 1976 and deducted the income earned by Shri Vijay Kumar amounting to Rs. 36,968 from the total income from the contract amounting to Rs.....