PANGAL NAYAK BANK LIMITED Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE Madras Income-tax Appellate Tribunal has referred the following question under section 66(1) of the Indian Income-tax Act, 192 :

(2.) THE learned judge set out the statement of facts which ran as follow :

(3.) ON the basis of the return the assessee made, based on the aforesaid profit and loss account including therein the aforesaid sum of Rs. 10,000, the assessment was completed by the Income-tax Officer by his order dated 30th July, 1958. In this assessment, the Income-tax Officer added back Rs. 5,000 being his estimate of postage stamps, power of attorney expenses and other expenses incidental to the increase of capital.