TMI Blog1983 (10) TMI 15X X X X Extracts X X X X X X X X Extracts X X X X ..... d not the entire aspect. In order to bring out this point more clearly a few facts may be stated. The assessee, a private limited company, carries on business in construction of buildings. The assessee's claim was that as it was engaged in the business of processing of goods, it was chargeable to tax at the rate of 55% only. The ITO, in his order for the assessment year 1969-70, rejected the claim of the assessee but without any discussion. The assessee carried the matter further to the AAC and the AAC, following a decision of the Tribunal, held that the assessee must be deemed to be engaged in the business of processing of goods. Accordingly, the ITO was directed to assess it to tax at the rate of 55%. The Revenue preferred an appeal b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... estion of law would arise out of the order of the Tribunal : " Whether, on the facts and in the circumstances of the case, the Tribunal erred in holding that the assessee-company is an industrial company and, consequently, directing that the tax should be calculated at 55% ? " Now, the question actually referred to us is not the same as the question in respect of which the Commissioner had sought a reference. The question of which the Commissioner had sought a reference would take within its sweep both the arguments urged before the Tribunal by the Revenue which the Tribunal had rejected and decided in favour of the assessee. The question actually referred to us would only require us to consider the latter of the two arguments urged on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ver, this is not the aspect which we are required to consider. What we are required to consider by the Tribunal in the question referred to us is whether a construction company would cease to qualify as an industrial company and, therefore, the right to be charged to tax at the lower rate of 55% against 65% because " it has got some work executed through sub-contractors ". The frame of the question suggests that the assessee-company has done some work departmentally though we may point out that the statement of case and the annexures are most unsatisfactory as they do not inform us whether the work done by the sub-contractor is substantial, fairly large or fairly substantial and the precise nature of that work. We would proceed on the foo ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
