( 1 ) DURING the assessment year in question, namely, 1970-71, the assessee-respondcnt, which is a registered firm, had five partners inducing Sri J. P. Bhartiya and Sri G. L. Bhartiya. These two persons were partners in their representative capacity as karta of their respective Hindu individed families. During the said assessment year. , the partnership had paid interest to the aforesaid two persons in the sum of Rs. 18,585 and Rs. 12,372, respectively. The assessee claimed deduction of these amounts which was disallowed by the Income-tax Officer. On appeal, the Appellate assistant Commissioner confirmed the order of the Income-tax Officer in this behalf. The tribunal, however, on further appeal, took the view that the interest appeared to have been paid to the aforesaid two persons in their individual capacity and allowed the appeal and granted the deduction claimed by the respondent. The Commissioner of Income-tax made an application under Section 256 (1) of the Income-tax Act, 1961, hereinafter referred to as "the Act", for referring the following question of law to this court for its opinion : "whether, on the facts and in the circumstances of the case, the Tribunal w