JUDGMENT

GUPTA, J. :—This appeal by the Additional Commissioner of Income-tax, Gujarat, I, Ahmedebad, on a certificate under Section 261 of the Income-tax Act, 1961 granted by the Gujarat High Court, raises a question relating to the powers of the Appellate Assistant Commissioner in disposing of an appeal.

2. The respondent, a company carrying on the business of copper engraving and manufacturing of labels, appealed to the Appellate Assistant Commissioner against an order of assessment made under S. 143 (3) of the Income-Tax Act, 1961, and one of the grounds of appeal was that the Income-tax Officer had erred in not giving the assessee any benefit under Section 84 of the Act. The assessment year was 1963-64. No claim however had been made before the Income-tax officer when he completed the assessment that the assessee was entitled to an exemption in respect of a portion of its profits under section 84. The appellate Assistant Commissioner dismissed the appeal on the ground that the question of error on the part of the I.-T. Officer did not arise as no claim for exemption under Section 84 had been made before him. The Tribunal took a different view and held that "since the entire ass