TMI Blog1993 (6) TMI 57X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessment year 1984-85, the assessee-firm received sales tax refund of Rs. 33,968. The assessee contended before the Income-tax Officer that the said refund was not includible as income under section 41(1) of the Act as deduction in respect of the said amount had been obtained by the partnership-firm and not by the assessee. The assessee also submitted that the said amount cannot be treated as income by virtue of any other provision of the Act including sections 28, 170 and 176(3A). The Income-tax Officer was of the view that it was a case of succession of business otherwise than on death and as such the sales tax refund amount can be treated as income of the assessee. He, therefore, included the said refund amount in the income of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... twhile firm. Information on this point was not readily available. This would be a material fact for finally deciding the point in controversy. It will have to be ascertained as to on what basis the assessee-company received the refund if really it was the erstwhile firm which was entitled to receive the refund. If the firm stands dissolved, it would be the partners of the dissolved firm, who would normally receive the refunds. The deed of dissolution is also not on record and it is not known whether there were any terms in the deed of dissolution under which the sales tax amount was receivable by the assesseecompany. It will be necessary to examine the relevant provisions of the Gujarat Sales Tax Act and the Gujarat Sales Tax Rules regardin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Income-tax (Appeals). It was also urged that if any information was required by the Tribunal, it could have obtained the same by directing the parties to produce the same before it and for that reason also it was not necessary to set aside the order passed by the Commissioner of Income-tax (Appeals) and to send the matter back to him. In our opinion, the contentions raised on behalf of the assessee deserve to be accepted. Though reliance was placed by the assessee on the dissolution deed before the Income-tax Officer for a different purpose, the fact remains that a copy of the dissolution deed was on the record of the case. As pointed out by the learned advocate for the assessee, the said dissolution deed has provided for rights and liabi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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