2009 (8) TMI 99

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....duction under sections 80CCA and 80CCB of the Income-tax Act ?" 2. The reference relate to the assessment year 1992-93. Briefly stated, the facts giving rise to the present reference are as follows: 3. The assessee had made an investment of Rs.40,000 in National Savings Scheme and another investment of Rs.10,000 in Unit Trust of India Magnum. His claim for deduction under sections 80CCA and 80CCB on the above investments was rejected by the Assessing Officer, vide his order dated February 24, 1993, on the ground that the investment had not come out of income chargeable to tax. The case of the assessee before the learned Commissioner of Income-tax (Appeals) was that during the year he had given a loan of Rs.2 lakhs to one M/s. Ganesh P....

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....partment had contended that all the income earned by the assessee during the year was invested elsewhere and that the savings bank account of the assessee did not in any way show that the amount of Rs. 2 lakhs was advanced to M/s. Ganesh Prasad Hira Lal, out of income chargeable to tax during this year or in earlier year. 5. By Observing as under, the Tribunal decided the controversy in the matter in favour of the assessee, vide its order dated April 17, 1998: "At the outset, we may frankly admit that on the issue involved there is a difference of opinion between the High Courts. The Punjab and Haryana High Court in the case of Ravi Kumar Mehra v. CIT [1988] 172 ITR 108 has held that there is no rule that in order to qualify for relie....