1997 (1) TMI 58

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.... J.--At the instance of the Department, the Tribunal referred the following question for the opinion of this court under section 256(2) of the Income-tax Act, 1961 (hereinafter referred to as "the Act"): " Whether, on the facts and in the circumstances of the case and having regard to section 36(1)(iv) of the Income-tax Act, 1961, the reassessment made under section 147(b) of the Act for the as....

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....ion to the superannuation fund under section 36(1)(iv) was only 1/5th of 80 per cent. of the initial contribution and not 80 per cent. of the initial contribution itself. He, therefore, held that the amount admissible was only Rs. 9,390 being 1/5th of Rs. 46,950, representing 80 per cent. of initial contribution of Rs. 58,687. Thus, he disallowed a sum of Rs. 37,560 and the reassessment was comple....

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....be said to represent the correct state of law unless it is supported by decisions of courts. On the basis of the audit note, the Income-tax Officer came to the conclusion that initial contribution to superannuation fund under section 36(1)(iv) of the Act was only 1/5th of 80 per cent. of the initial contribution and not 80 per cent. of initial contribution itself. This view was taken on the bas....