9911796707
TMI Blog1977 (4) TMI 18X X X X Extracts X X X X X X X X Extracts X X X X ..... eferred to as "the Tribunal"), has referred to this court two questions of law. The facts of the case have been set out in the order of reference and it is unnecessary to repeat them. It is convenient to take up first, the question No. 2 referred by the Tribunal. That question reads: " Whether, on the facts and in the circumstances of the case, there was any material before the Tribunal t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ions of the Tribunal, in our opinion, is that the Tribunal held that the alleged payment by the assessee to the minor (represented by his guardian) of 50 per cent. of the profits of the business carried on by the assessee, was not by way of consideration for good luck said to have been brought to the assessee's business on account of the minor investing a paltry sum of Rs. 2,000 in the assessee's ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y the assessee of the income earned by him. We shall now take up the first question referred to us. That question reads : " Whether, on the facts and in the circumstances of the case, the payment to the minor, Virendra Bahadur, under the agreement dated August 24, 1963, is a legitimate business expenditure and an allowable deduction ? " As the Tribunal disbelieved the story of good luck b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... able deduction except to the extent of reasonable interest on the amount invested by him in the assessee's business. 2. On the facts and in the circumstances of the case, there was material before the Tribunal to conclude that the payment by the assessee of a share of his profit to the minor, was not a diversion of income by an overriding or paramount title, but an application of the assessee's ..... X X X X Extracts X X X X X X X X Extracts X X X X
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