Shamlal And Co. vs Commissioner Of Income-Tax
1987 Latest Caselaw 172 Del

JUDGMENT

1. This petition under section 256(2) of the Income-tax Act, 1961, by the petitioner is directed against the order dated May 30, 1983, whereby the Tribunal rejected the application under section 256(1) On hearing learned counsel for the parties, we are satisfied that the following questions of law do arise from the order of the Tribunal :

"(1) Whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in holding that the transaction relating to interest is not a genuine one as the genuineness of the transaction was never in dispute before the income-tax authorities and was not the subject matter of appeal before the Tribunal ?

(2) Whether, on the facts and in the circumstances of the case, the Tribunal was correct in law in holding that the period of limitation under section 149(3) to hold the assessed as agent had expired owing to default on the part of the assessed, giving no opportunity to the Department to be able to treat the assessed as agent ?"

2. The Tribunal is, therefore, directed to submit the statement of the case and refer the aforesaid questions of law for the opinion of this court.