J K WOOLLEN MANUFACTURERS PRIVATE LIMITED Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS is an income-tax reference. It comes on a requisition by this court on an application under section 66(2). The question for the opinion of the court is :

(2.) THE facts giving rise to the reference are : that the assessee which is a registered firm took on lease a woollen mills called Baijnath Bankebehari Lal Woollen Mills. THE terms of the lease appear to have been that a minimum amount of Rs. 24,000 as lease money was payable to Smt. Indramani Singhania, the widow of the proprietor of the mills, and in case the profits of the lessee from the mills exceeded the sum of Rs. 1,00,000 the lease money was to be payable at the rate of 0-7-9 in the rupee.

(3.) MR. Vaish was educated in the Public School, Dehra Dun, and passed the Senior Cambridge from that school. He then joined the Banaras College and passed the Intermediate Examination. He studied for a year in the Engineering College of the Banaras Hindu University for electrical and mechanical engineering and then joined the Commerce College at Delhi. After that he had training in the Aluminium Corporation of India Ltd., Laxmiratan Cotton Mills Ltd. and the Food Products Ltd., Rampur.