Sikri, J. - (1.) This appeal by special leave is directed against the judgment of the High Court of Punjab at Chandigarh in a reference made to it under S. 66 (1) of the Income-tax Act, 1922, hereinafter referred to as the Act. The questions which were referred were:(1) Whether the assessee was entitled to have an adjustment of the advance tax paid by it under S. 18-A of the Indian Income-tax Act in Lahore for the Assessment year 1947-48 against the demand of tax raised by the Income-tax Officer, 3rd Additional Business Circle, New Delhi for the assessment year 1947-48 (2) Whether the order of the Tribunal directing a refund to the assessee out of the advance tax paid by him in Lahore is legal and valid
(2.) As the High Court rightly observed, the answer to the second question depends on the answer to the first question, and it is the first question alone which requires consideration. (3) The relevant facts are stated in Paras 2 and 3 of the Statement of the Case, as follows: "2. The statement of case relates to the assessment year 1947-48, the accounting period being the calendar year ending 31st December, 1946.
(3.) The assessee is a public limited company dealing in the manufacturing and sale of stationery goods. Before the partition of the Country the company's registered office as well as the head office was at Lahore. The assessment for the year 1947-48 was completed by the Pakistan Income-tax Officer on the 28th January, 1948 completely ignoring the agreement of the Avoidance of Double Taxation of Income between the Pakistan and the Indian Governments. The assessement for the year 1947-48 was also made by the Income-tax Officer, 3rd Additional Business Circle, New Delhi on a figure of Rs. 38,916. It is common ground that the assessee had paid advance tax under S. 18-A of the Indian Income-tax Act to the tune of Rs. 36,783-6-0 between June, 1946 and March, 1947. This tax was paid under the Indian Income-tax Act to the Income-tax Officer, Lahore.";