- (1.) Income Tax Appellate Tribunal, Allahabad Bench, Allahabad has referred the following two questions under Section 256(1) of the Income Tax Act, 1961 (hereinafter referred to as 'the Act') for the opinion of the High Court: 1. Whether on the facts and in the circumstances of the case, the I.T.A.T. was right in holding that the Assesseecorporation is not a 'local authority' for purposes of theIncome-tax Act, 1961, notwithstanding such description in Section 3(3) of U.P. Water Supply and Sewerage Act, 1975?
(2.) Whether on the facts and in the circumstances of the case, the I.T.A.T. was right in upholding the order of the C.I.T. (Appeals), who had held that the Assessee corporation is a company within the meaning of section2(26) of the Income Tax Act, 1961? 2. The assessment year involved is 1980-81. The facts are not much in dispute. The principal question which falls for determination is whether U.P. Jal Nigam, Lucknow is a 'local authority' within the meaning of Section 10(20) of the Act.
(3.) Chapter-III of the Act provides for the incomes which do not form part of total income.;