1989 (2) TMI 9

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.... been referred by the Tribunal : "1. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in holding that the entire amount of the provision for expenses was allowable in computing the profits and gains of the assessee's business ? 2. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in holding that the Appellate A....

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....er appealed to the Tribunal. The only point taken before the Tribunal was that the assessee had not explained before the Income-tax Officer that the provisions in question were on account of bonus payable by the assessee. Since the assessee had not produced evidence to prove that the provisions in question related to bonus, it was submitted that the disallowance by the Income-tax Officer Was corre....

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....ng the years under reference and since before the Tribunal also details had been furnished to show that the provisions made for all the years were on account of bonus payable and that bonus was actually paid in each of the subsequent years, the Tribunal felt satisfied that the assessee-company had correctly provided for bonus payable during the three years under reference to its employees. Since t....

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....ing the three years under reference to its employees. In view of this finding, we are unable to hold that the Tribunal should have given any further direction in the matter. Therefore, the first question is answered in the affirmative and in favour of the assessee. The second question relates to carry forward of development rebate. This question is concluded by a judgment of this court in th....