1989 (7) TMI 337

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.... 256(1) of the Income-tax Act, 1961 ('the Act') for the assessment year 1972-73, the following question of law has been referred to this Court: "Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that the assessee was not carrying on any business and, therefore, its status was as an AOP?" 2. The facts are that for the assessment year 1....

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....me under the head 'Income from other sources'. Observing that the existence of a partnership firm presupposes the existence and carrying on of a business he took the status of the assessee as that of an AOP. 3. The assessee being aggrieved by the said order of the ITO appealed to the AAC. The AAC found that the partners of the assessee-firm had entered into an agreement to carry on busi....

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....own in the assessee's profit and loss account was by rent collection while expenditure shown therein was on electric charges, rates and taxes, salary and wages, sub-lease rent and interest. He observed that it could not be stated from the said accounts that the assessee had carried on any business activities. According to him, the assessee had done nothing except realisation of rent and done s....