2003 (8) TMI 29 - HC - Income Tax

Whether, the assessee in the accounting period relevant to the assessment order 197778 was a financial company as defined in Explanation (c) to section 40A(8) of the Income-tax Act, 1961? - A finding of fact has been recorded in the Tribunal s order that the principal business of the assessee was finance business. This is a finding of fact and we cannot interfere with the same in this reference

Summary

The judgment is a reference under section 256(1) of the Income-tax Act, 1961. The first question is about whether the assessee was a 'financial company' as defined in Explanation (c) to section 40A(8) in the relevant accounting period. The second question is about whether the gross total income of the assessee for the relevant accounting period included profits and gains from an industrial undertaking. The Tribunal found that the principal business of the assessee was finance business. The reference on the second question is returned unanswered as no one appeared on behalf of the assessee.