9911796707
TMI Blog1981 (8) TMI 29X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Indian Partnership Act, 1932, section 2(23) and section 64 of the Income-tax Act, 1961, the assessee, individual ( ......*1) was not the partner of the firm ( ......*2) and whether the share of profits arising in the hands of the minor sons of the assessee from the said firm is not rightly includible in the assessment of the assessee, individual u/s. 64(1)(ii) of the Income-tax Act, 1961 ?" [We have omitted the name of the assessee *1 and the name of the partnership firm *2 as they are different in the two different cases]. The Tribunal has refused to refer the question on two grounds. First, the income of the minors could not be included in the computation of the total income of the assessees in respect of their individual asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Court is purely advisory. Apart from the assessee and the revenue, the Tribunal is also a beneficiary of a firm decision of the High Court, on a question of law. As such, when one of the beneficiaries refuses to make a reference, the High Court ought to be slow and circumspect to disturb the decision of the Tribunal. However, if the Tribunal makes a patent error or fails to exercise the jurisdiction vested in it by s. 256(1) of the Act the High Court must step in and exercise its power u/s. 256(2) of the Act. Bearing in mind the above principles let us proceed to consider the contentions. The common ground in both the applications is a general and vague statement that a question of law does arise out of the order of the Tribunal and nothi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sputed or disputable question of law. The object of reference is to get a decision from the High Court on a problematic or debatable question and not an obvious and simple point of law, although somehow the determination is somewhere linked up with a provision of law. The meaning of the term " question ", in the context, means a subject or point of investigation, examination or debate, a problem ; as delicate or doubtful question. In our opinion, the Tribunal is obliged to refer only a question of law which calls for investigation, examination, debates or when it is a dubious problem. However, if a point of law decided by the Tribunal is positive, certain, definite and sure, there is no obligation on the part of the Tribunal to refer the ma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... [1981] 130 ITR 383 (Gauhati), where one of us (Lahiri J.), speaking for the court, expressed the above view. In Civil Rules Nos. 18(M) and 19(M) of 1979 decided on June 5, 1981, (CIT v. R. D. Sharma) one of us (T. C. Das J.), speaking for the court, has taken the view that when the decision reached by the Tribunal on a question of law is obvious or self-evident, the Tribunal need not refer the question. We have no hesitation in arriving at the conclusion that when the answer to a point of law is too obvious or self-evident no reference u/s. 256 of the Act need be made. In the instant case, the conclusion reached by the learned Tribunal on the interpretation of law is correct and there is no, nor can there be any, debate on the point as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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