1983 (10) TMI 22

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.....-The question to be answered in this reference under s. 256(1) of the I.T. Act, 1961, reads thus: Whether the assessee-firm was entitled to relief under s. 84 of the Income-tax Act, 1961, in its assessment, though similar relief was allowed by the Income-tax Officer in the assessments of the partners ? " The assessee is a partnership firm consisting of three partners. It set up a new indust....

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....stries' case [1966] 61 ITR 241 (Guj), which dealt with the provisions of the Indian I.T. Act, 1922, it was held that since income-tax was payable by a registered firm, it was an assessee. It was, therefore, entitled to claim exemption under s. 15C of the 1922 Act from payment of tax in respect of the amount of exempted profits in the determination of the tax payable by it even if such exemption ha....

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....apportioned the amount of exemption in the hands of the individual partners. On second appeal, the Tribunal held that the firm should have been allowed the benefit in its assessment. The High Court affirmed the Tribunal's view and held that the relief under s. 84 was to be allowed in the hands of the registered firm as it in no uncertain terms provided for grant of relief and exemption to the asse....