TaxTMI 
TaxTMI 
1988 (1) TMI 14
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....the assessee-firm to Shri. R.J. Trivedi as coal mines agent, had to be disallowed under section 40(b) of the Act ?" The assessee, M/s. R. J. Trivedi and Sons, is a registered partnership firm carrying on business as a contractor in collieries. There is another firm, named, M/s. J. A. Trivedi Brothers, owners of West Barkuhi Collieries and Ghorawari Hirdagarh Collieries. This firm shall, hereafter, be referred to as the owners of the collieries. An agreement was executed between the owners of the collieries and the assessee on which reliance has been placed by the Commissioner of Income-tax as also by the Tribunal. The assessee paid certain amounts as salary to Shri. R. J. Trivedi who is one of the partners of the assessee-firm. According ....
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....gent, West Barkuhi Colliery owned by M/s. J. A. Trivedi, Civil Lines, Chhindwara. Annexure H, on the other hand, is a copy of the annual return for the year ending on December 31, 1964, of J. A. Trivedi Brothers. In column No. 8 of this return, R. J. Trivedi is shown as the agent as defined in section 2(c) of the Mines Act, 1952. It has been urged by learned counsel appearing for the Department that the question which has been referred to this court in view of the finding of fact recorded by the Commissioner of Income-tax and accepted by the Tribunal that Shri. R. J. Trivedi was not the agent of the owners of the collieries, but that the assessee was the agent deserves to be answered in favour of the Department and against the assessee on t....
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....en before the constitution of the assessee-firm in the year 1970 and it was clear from the documents copies whereof have been filed as annexures G and H to M.C.C. No. 633 of 1985. In this connection, learned counsel for the assessee has also referred to the agreement reliance on which was placed by the Commissioner of Income-tax and the Tribunal and it has been urged on the basis of para 14 thereof that the facts stated in the said paragraph supported the contention of the assessee that R. J. Trivedi was an agent of the owners of the collieries at the time when the said agreement was executed and that it was for this reason that in para 14, it was stipulated that the assessee-firm would conduct its business under the supervision of the agen....