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TMI Blog1953 (1) TMI 24X X X X Extracts X X X X X X X X Extracts X X X X ..... s and variations thereof or in the nature of business activities. The case arises out of excess profits tax assessment for the chargeable accounting period 1st August, 1944, to 9th April, 1946. The assessee is a Hindu undivided family which carried on business in piece goods. This business was closed on the 31st of March, 1944, as held by this Court in an earlier proceeding. On the discontinuance of the business the family's assets came to ₹ 2,25,190. Out of this amount the assessee deposited a sum of ₹ 1,54,376 in various banks on interest. Later he withdrew a certain amount for the purchase of colliery shares and still later he withdrew certain other sums of money in order to make advances from time to time on interes ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he tune of ₹ 13,123 which was the profit derived by him from interest on moneys advanced to the various persons mentioned above. The Income-tax Officer found that the assessee had not carried on any business during the chargeable accounting period mentioned in the return, and the Appellate Assistant Commissioner affirmed his order on appeal. The Tribunal also came to the same conclusion and overruled the contention of the assessee that the income derived by him was on account of any business carried on by the assessee so as to entitle him to any reduction under the Excess Profits Tax Act. Mr. S.K. Majumdar on behalf of the assessee contends that the income on account of interest derived from the persons named above was income fr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nder the Money-Lenders Act, in order to carry on the business in question, which presumably the assessee would have done if his intention was to carry on business in a regular fashion. It may be true that some of these factors can be also explained on the hypothesis, as Mr. Majumdar contends, that they were merely in the nature of investments; but the point is whether this Court on reference should take a different view of the matter even if two views on facts were possible. The Tribunal is the final Court of facts and on the facts found this Court would be reluctant to substitute its own inference of facts provided the inference made by the Tribunal were equally sustainable. On the one hand, the Tribunal may be justified in coming to that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he year 1938 was empowered under is memorandum of association to purchase, manage and sell land, buildings and other property. In 1939 the company acquired some houses and garages and about 13 acres of land, and in 1944 it purchased 47 acres of farming land. All these properties were let out by the company to the tenants at rents which constituted its income. Up to 1946-47 the company was treated as an investment company and it was granted relief for management expenses accordingly under Section 33 of the United Kingdom Income Tax Act, 1918. During the years 1945 to 1947 the company sold two houses, 13 acres of land and the farm, and the company was assessed to income-tax under Schedule D of the said Act in respect of its profits from the s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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