The question referred is Whether on the facts and in the circumstances of the case, the assessee i.e., Assam Cooperative Apex Marketing Society Ltd., is entitled to exemption under Section 81 1 c in respect of their income arising out of procurement of paddy and other agriculture produce?.
The Assam Co operative Apex Marketing Society Ltd., Assam was appoint ed as the procuring agent for paddy by the Government under a scheme evolved by the Government of Assam and companytained in its proceeding dated 23rd November, 1962.
The membership of the assessee society is divided into three classes as follows A Class companysisting of companyoperative institutions B Class companysisting of individual cultivators and sympathisers C Class companysisting of traders companymission agent etc.
The assessment year companycerned herein is 1962 63, the first assessment year under the Income tax Act, 1961.
The assessee is a society registered under the Assam Co operative Societies Act, 1949.
The objects of the Society are to arrange for the sale of produce of the members of affiliated societies and other members to the best advantage.
This plea was negatived by the Income tax Officer but on appeal, the Appellate Assistant Commissioner agreed with the assessee.
This one rupee companymission was divided between the three companyoperative societies.
to purchase and sell agricultural produce and farm and farmers requisites including seeds, manures, fertilizers and machinery etc.
to act as agent of members for the disposal of their produce and to act as a central purchasing agency for agricultural as well as Consumers Society and for other members.
This appeal is preferred against the judgment of the Gauhati High Court answering the question referred to it against the assessee.
The State Government.
During the accounting year relevant to the said assessment year, the appellant.
The revenue went up in appeal to the Tribunal.
