1992 (5) TMI 2

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.... 256(1) of the Income-tax Act, 1961, for the assessment year 1981-82, 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 entitled to weighted deduction under section 35B(1)(b)(iv) of the Income-tax Act, 1961, in allowing relief of Rs. 58,281 to the assessee?" The ....

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....broad. Various other clauses of the agreement also required the foreign agents to accept the orders from foreign customers, transmit such orders to the assessee to deliver the products to the customers. For such various services, the assessee was required to pay commission to the agents and the commission was duly approved by the Reserve Bank of India. It was contended on behalf of the assessee th....

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....e case of Chloride India Ltd. v. IAC (Asst.) Range-I, Calcutta, in I. T. A. No. 742 (Cal) of 1987, dated November 28, 1988, relating to the assessment year 1981-82. It was argued that the issue considered by the Tribunal in the aforesaid order is identical to the present assessee's case. Reliance was also placed on the decisions of various High Courts for the proposition that the commission paid t....

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....f goods which the assessee "deals in". In the instant case before us, the Tribunal relied on the appellate order of the Tribunal of Chloride India Ltd. which came by way of reference before this court as mentioned hereinabove. The said case is distinguishable. It appears that the commission was paid to foreign agents for securing information about the market conditions prevailing abroad not for sa....