Dipak Kumar Sen, J. - (1.) This reference under Section 256(1) of the Income-tax Act, 1961, is at the instance of the Commissioner of Income-tax, West Bengal-I, Calcutta. The assessment year involved is 1963-64, the relevant previous year being the one ended on 30th September, 1962.
(2.) In the said assessment year, the Braithwaite, Burn &. Jessop Construction Co. Ltd., Calcutta, the assessee, provided for the following item under the heading "reserve and surplus" in its balance-sheet as at the 30th September, 1962. JUDGEMENT_577_ITR113_1978Html1.htm
(3.) In the same balance-sheet under the heading " Provision ", there was an item as follows : JUDGEMENT_577_ITR113_1978Html2.htm;