9911796707
TMI Blog1987 (1) TMI 63X X X X Extracts X X X X X X X X Extracts X X X X ..... ereinafter referred to as "the Act"), the Income-tax Appellate Tribunal, Indore Bench, has referred the following question of law to this court for its opinion : " Whether, on the facts and in the circumstances of the case, the Tribunal was justified in holding that the activity of letting out the factory building did not constitute business and the income was assessable as income from property ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... grieved by the order passed by the Appellate Assistant Commissioner, the Revenue preferred an appeal before the Tribunal. The Tribunal came to the conclusion that the act of leasing the dal mill by the assessee could not be held to be a business activity and hence the Income-tax Officer was right in refusing registration. The Tribunal, therefore, allowed the appeal. Aggrieved by the order passed b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... commercial asset which yields income must be used as an asset by the assessee himself. The Supreme Court held that the assessee is entitled to exploit such asset to his best advantage, which he may do so either by using it himself personally or by letting it out to somebody else. In the instant case, the business of the partnership, as evidenced by the deed of partnership, which has not been foun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing out the factory building did not constitute business, that the income therefrom was assessable as income from property and that the assessee-firm was, therefore, not entitled to registration. Our answer to the question referred to this court is, therefore, in the negative and against the Revenue. In the circumstances of the case, parties shall bear their own costs of this reference. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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