SABYASACHI MUKHARJI, J.

( 1 ) THE question posed for our consideration in this reference under Section 256 (1) of the I. T. Act, 1961, are as follows :"1. Whether, on the facts and in the circumstances of the case, the Tribunal was right in holding that the income, profits and gains of a company not includible in its total income referred to in Rule 4 of the Second Schedule of the Companies (Profits) Surtax Act, 1964, applied only to those amounts, which are not includible in the total income by the provisions of Chapter III of the Income-tax Act, and not to any of the deductions claimable under Chapter VIA of the Income-tax Act, 1961 ?

( 2 ) WHETHER, on the facts and in the circumstances of the case, the Tribunal was justified in holding that there was no error in the order of the Income-tax Officer in not reducing the capital computed proportionately having regard to the deductions allowed under Sections 80-I and 80j of the Income-tax Act, 1961, and in that view cancelling the order of the Commissioner of Income-tax under Section 18 of the Companies (Profits) Surtax Act?"2. This reference relates to the assessment years 1968-69, 1969-70 and 1970-71. For these assessment years, t

Click Here to Read the rest of this document