SABYASACHI MUKHARJI, J.

( 1 ) THE question sought for in this application is as follows:"whether, on the facts and in the circumstances of the case, the Income-tax Appellate Tribunal was justified in holding that the Appellate Assistant Commissioner of Income-tax had exceeded his powers in entertaining the additional ground of appeal taken before him in respect of the claim for deduction of a sum of Rs. 11,54,995 representing liability for raw jute purchase tax ?"

( 2 ) THE question arises under the following circumstances: The assessee is a Govt. Corporation engaged in jute industry. The assessment year is 1974-75, and the relevant accounting period is April 1, 1972, to June 30, 1973. The liability on account of raw jute purchase tax amounting to Rs. 11,54,995 had arisen during the accounting year relevant to the assessment year under reference. However, it was an admitted fact that the assessee had neither furnished necessary details nor claimed deduction of the said claims before the ITO. After considering the submissions of both the assessee as well as the ITO, in view of the decision of the Supreme Court in the case of Kedarnath Jute Mfg. Co. Ltd. v. CIT , the AAC allowed the

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