Kota Co-operative Marketing Society Ltd. vs Commissioner of Income Tax

V.K. Singhal, J.—The Income Tax Appellate Tribunal has referred the following questions of law arising out of its order dated March 9, 1981, in respect of the assessment year 1975-76 :

"(1) Whether the Tribunal was correct in law in allowing the deduction u/s 80P(2) of the Act at Rs. 98,323 only out of deduction claimed for Rs. 3,51,154 ?

(2) Whether the Tribunal was correct in law in deducting proportionate expenditure at the rate of 72 per cent. out of the income claimed u/s 80P(2) of the Act for the overhead expenditure ?

(3) Whether the Tribunal was correct in law in not allowing the entire expenditure u/s 37 of the Act against the taxable income ?"

This matter has been considered in D.B. Income Tax Reference No. 90 of 1982 in the case of Kota Co-operative Marketing Society Ltd. Vs. Commissioner of Income Tax,

Following the decision in the said case this reference is accordingly answered in favour of the Revenue and against the assessee. No order as to costs.