Chennai Court October 1951 Judgments

Rm. G. Sundararamier Radhakrishnier and Co. Vs. the Commissioner of In ...

Court: Chennai

Reported in: AIR1952Mad793; [1952]21ITR184(Mad); (1952)IIMLJ30

Rajagopalan, J. 1. The question for decision is 'Whether on the facts and in the circumstances of the case, the applicant was entitled to the deduction of Rs. 5127 in the assessment year 1945-46 and Rs. 4742 jn the . assessment year 1946-47 under Section 10(2) (XV) of the Indian Income tax Act.'2. The facts were not really in dispute even before the Appellate Incometax Tribunal. The Tribunal reported :'It was admitted that the agreement on the basis of which the payments had been made was only oral, and that Karuppan Chettiar did not do anything for the business, apart from helping in securing the licence which enabled the assessee to export cloth to Ceylon. That there was such an agreement to pay Karuppan Chettiar that Karuppan Chettiar helped him in obtaining a licence and that Karuppan Chettiar was paid the sums referred to above were not in dispute before the Tribunal.'Learned counsel for the applicant pointed out that the assessee, who was trading in piece-goods was exporting good...