1976 (3) TMI 25

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... the Income-tax Act of 1961 (hereinafter referred to as " the Act " ), we required the Appellate Tribunal, Cuttack Bench, to state a case and refer the following question for opinion of this court : " Whether, on the facts and in the circumstances of the case, and in view of the grounds raised in the memorandum of second appeal, the Tribunal was justified in saying that the assessee had not rai....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....tituted about 2 per cent. of the sale price. Assessee carried appeals before the Appellate Assistant Commissioner essentially canvassing against rejection of accounts and having failed before him to obtain any relief carried second appeals to the Tribunal wherein it raised, inter alia, the following grounds : " (i) For that the appellant having maintained all books of accounts in the most fl....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....of appeal were capable of taking within them a contention in regard to the challenge of the rate of profit and the Tribunal went wrong in rejecting entertainment of the contention being of the view that such a contention was not admissible on the terms of the memorandum of appeal. Before us, Mr. Pasayat, for the assessee, has conceded that it is not a case where rejection of accounts can be challe....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ness of the rate of profit and, therefore, the Tribunal was not correct in rejecting the contention as not tenable. It is conceded by both sides that such a question has not been examined on merits and, therefore, once we answer in favour of the assessee, it would follow that the appeals have to be reheard and disposed of on merits in accordance with law. Our answer to the question, therefore, is ....