- (1.) HEARD learned counsel for the parties.
(2.) THIS is an application filed under S. 256(2) of the IT Act, 1961, it relates to asst. yr. 1973-74. The assessee has moved an application under S. 256(1) of the IT Act, 1961, requiring the Tribunal to state the case and refer to this Court for its opinion as many as 8 questions which in its opinion arose out of the Tribunal's order. However, the Tribunal allowed the application partly and referred the question No. 1 only, but refused to refer the other questions on the ground that those are not questions of law or they do not arise out of the Tribunal's order. Aggrieved with that order, this application under S. 256(2) of the IT Act has been moved by the assessee for requiring the Tribunal to refer the remaining questions of law which according to assessee has been refused to be referred erroneously. In the aforesaid circumstances, the procedure to be followed is well settled. Whenever the Tribunal partly accepts an application under S. 256(1) and makes a reference of one or more questions of law, but refuse to make reference of other questions required by the party to lis to be referred to High Court, it is open for the parties under S. 256(2) of IT Act, 1961, if he wants to pursue those questions to have an application. However, on making that application, the same should be treated as a notice of motion and such application ought to be considered along with the reference submitted by the Tribunal at the time of hearing. If the Court comes to such conclusion that such questions arise out of the Tribunal's order it may make necessary orders, as may be required in the facts and circumstances of the case. At that time, if supplementary statement of case is needed for deciding such additional question or questions, which the Court consider to be question of law, the Court may direct the Tribunal to submit a supplementary statement of case. If the material on record is sufficient to decide such questions, the same may be answered on that basis. Accordingly, we direct that this application be listed along with the reference No. (44/85) made by the Tribunal between the same parties arising out of the same order of the Tribunal.;