Harries, C.J. - (1.) This is a Reference made by the Income-tax Appellate Tribunal, Calcutta Bench, in respect of the assessment of the East India Prospecting Syndicate, Calcutta, to excess profits tax.
(2.) The Syndicate claimed that it was not liable to pay excess profits because it was not carrying on a business within the meaning of Section 2 (5) of the Excess Profits Tax Act, 1940. The Tribunal found that it was carrying on a business but it was requested by the syndicate to state a case for the opinion of this Court. The Tribunal stated a case and formulated the following question for the opinion of this Court. "Whether in the facts and circumstances of the case, the assessee can be said to be carrying on a 'business' within the meaning of Section 2 (5) of the Excess Profits Tax Act, so as to bring the income in question within the charge to excess profits tax?"
(3.) The facts of the case giving rise to this dispute can be shortly stated "as follows:;