Hidayatullah, J. - (1.) This appeal with special leave has been filed by the Salar Jung Estate Committed through its Executive Secretary against the judgment and order of the High Court of Hyderabad dated April 15, 1955, in respect of the assessment of the appellant for the year 1557 Fasli. The respondent is the Commissioner of Income-tax, Hyderabad Division.
(2.) The following questions were referred by the Income-tax Tribunal, Bombay, for the decision of the High Court : "1. Whether the sum of Rs. 1,32,613 allowed by the Appellate Tribunal as a revenue deduction under section 14 (5) is in accordance with law 2. Whether the Hyderabad Income Tax Act is ultra vires 3. Assuming that the Hyderabad Income Tax Act is intra vires, whether the income of the previous year, that is to say, the income of 1356F, could be validly taxed in 1357 F -
(3.) These questions were all answered against the appellant by the High Court. In so far as questions Nos. 2 and 3 are concerned, we have already decided the same questions raised in Civil Appeals Nos. 166 to 168 of 1959. Following that decision, we answer questions Nos. 2 and 3 against the assessee. In so far as question No. 1 is concerned, it may be stated that the appellant had claimed a deduction of Rs. 2,65,226- 11-10 under clauses (a) and (b) section 14 (5). The Appellate Tribunal allowed half of it as expenditure. The High Court different from the Tribunal and disallowed the deduction on the ground that no sanad or order of the grant or enjoining such expenditure had been produced in the case. In the connected appeals, we have quoted an extract from the judgment of the High Court, in which the reason for disallowing the deduction in connection with the Jatprole jagir has been set out. It was on that very reason that the present deduction was disallowed.;