1988 (12) TMI 26

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....levant to the assessment year 1971-72 ?" A similar question was referred by the Tribunal in the assessee's own case relevant to the assessment year 1970-71 in Income-tax Reference No. 219 of 1976 (Zenith Steel Pipes Ltd. (No. 2) v. CIT [1990] 185 ITR 281 (Bom)), which we have disposed of today. Owing to paucity of facts, we have returned the question unanswered in that case. The position remains the same herein. Accordingly, this question is returned unanswered. In compliance with the directions of this court, the Tribunal submitted a supplementary statement of the case and the following two questions of law are referred for our opinion. The two questions are : "(1) Whether, on the facts and in the circumstances of the case, the....

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....eing the fees paid to Messrs. Insimax Corporation, the total of which came to Rs. 46,668 as business loss. The Income-tax Officer rejected its claim on the ground that the loss was a loss on account of non-delivery by the assessee and it was not a loss in the normal course of carrying on of its business. The Appellate Assistant Commissioner confirmed the disallowance observing that, without taking actual delivery and putting the spare parts to test, it could not be possible for any one to say that the goods were heavily rusted and extensively deteriorated. On further appeal, the Tribunal also confirmed the disallowance. In its view, non-acceptance of the goods by the assessee, in the circumstances, amounted to confiscation of goods and t....