Law: Income-tax Act (IX of 1922)

Section: 66

  Income-tax Act (XI of 1922) Ss. 66 & 66-A-Reference--Question of law-Assessee not maintaining stock register on regular basis-Books of accounts also defective- Controversy about disallowance in repairs made by Income-tax Officer, held, substantially in domain of facts and poses no question of law. Dates of hearing: 7th March and 19th June, 1979.                                                                                                                                     JUDGMENT SHAFT-UR-REHMAN, J-- This judgment disposes of the following tax references (1) P. T. R. 306172: Messrs Burhan Transport Service Ltd. v. Commis sioner of Income-tax, Rawalpindi. (2) P. T. R. 307/72: Messrs Burban Transport Service Ltd. v. Commissioner of Income-tax, Rawalpindi. 2. The petitioner is a, private limited company engaged in the business of public transport. For the assessment year 1969-70 it declared an effective fleet of 8 1/3 buses and claimed towards repairs a sum of Rs. 1,83,356. For the year 1970-7I, it declared an effective fleet of 81/3 buses and" claimed Rs. 1,93,377 for repairs. The Income-tax Officer applied a standard formula of normal repair expenditure of 13,000 per old bus and 6,500 per new bus. The new and the old buses were worked out for each year and disallowance of Rs. 76,523 for the year 1969-70 and Rs. 1,02,370 for the next year was ordered. On appeal 15,000 was allowed in 1969-70 for the element of accident and 15,000 for the next year on account of depreciation. The applied rates were confirmed. The petitioner has raised what he consi ders to be a question of law arising out of Tribunal's order for decision of this Court. It is as follows: - "Whether on the facts and in the circumstances of the case there was any material to uphold the disallowance in repairs as made by the Income tax Officer."…