- (1.) By this reference application, the Tribunal has referfed the following questions set out at page 2 of the statement of case for our opinion ; "1. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in adopting the annual rateable value according to the municipal law for the purpose of assessment under the Income tax Act ? 2. Whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in not holding that the standard rent under Section 8(1)(d) of the West Bengal Premises Tenancy Act, 1956, should be the basis for determining the annual letting value of the property at 33, Madan Mohan Tolla Street, Calcutta, under Section 23(1) of the Income-tax Act, 1961 ? 3. Whether there was any material before the Tribunal to hold that the rent received by the assessee was low or not fair rent ?"
(2.) The assessee was the owner of the house property at 33, Madan Mohan Tolla Street, Calcutta. This was a seven-storeyed building comprising the covered area of 11,380 sq. ft. The entire building was let out to various persons, including some directors of the assessee-company and relatives of the directors and persons having substantial interest in the company.
(3.) The Assessing Officer estimated the gross rental income from the building at Rs. 2,73,120 in each of the assessment years, that is, assessment years 1985-86 and 1986-87.;