TMI Blog1992 (2) TMI 24X X X X Extracts X X X X X X X X Extracts X X X X ..... ayment to M/s. Standard Electrode Corporation, ignoring the material fact that no services had been rendered by M/s. Standard Electrode Corporation to the assessee-company It appears that in respect of the assessment year 1964-65, the payment made to M/s. Standard Electrode Corporation was disallowed by the Income-tax Officer and that was upheld in appeals up to the Tribunal. In respect of the assessment year 1965-66 also, there was part disallowance which was upheld by the Tribunal. At the request of the assessee, the Allahabad High Court under section 256(2) of the Act called for reference of two questions and the same is pending in that court. For the assessment year in question, the assessee again agitated for the allowance of the d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g appointment of Standard Electrode Corporation as sole selling agent (page 87). 4. Copy of the assessee's letter dated May 10, 1967, to the Cornpany Law Board regarding rate of commission (pages 88 and 89). 5. Copies of bills/invoices made by the assessee in favour of Standard Electrode Corporation (pages 95 to 130 ). 6. Sales tax assessment orders against Standard 'Electrode Corporation (pages 133 to 148 ). 7. Break-up of sales of Standard Electrode Corporation (pages 149 and 150 ). 8. Copy of audited annual account of Standard Electrode Corporation (pages 154 to 164 ). 9. Copy of letter dated February 22, 1965, from the Company Law Board to the assessee regarding terms and conditions of appointment of sole selling agencies ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o disregard an agreement, if, in fact, no services were rendered. Mr. Gupta submits that in the facts of the present case, no services were rendered by the selling agent. In our opinion, as is evident from what has been extracted hereinabove, the Tribunal has referred to ten different types of papers which were filed in order to show that the assessee had received services from its sole selling agent. There was material on record on which the Tribunal could, and did, come to the conclusion that there was rendition of services by M/s. Standard Electrode Corporation in favour of the assessee. What is material, as rightly pointed out by the Tribunal, is that approval of the Company Law Board had been obtained both with regard to the appointm ..... X X X X Extracts X X X X X X X X Extracts X X X X
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