CANARA INDUSTRIAL AND BANKING SYNDICATE LTD Vs. COMMISSIONER OF INCOME TAX MYSORE

JUDGEMENT

(1.) In this reference, under section 66(1) of the Indian Income-tax Act, 1922, the Income-tax Appellate Tribunal (Bombay Bench "B") has referred two questions of law our opinion. They are :

(2.) The facts of the case as disclosed by the statement of the case submitted by the Tribunal to the extent relevant for our present purpose reads as follows :

(3.) These two reference applications arise out of the reassessments made upon the assessee, a public company, for the assessment year 1954-55 by taking recourse to the provisions of section 34 and the original assessment made upon it for the assessment year 1956-57. The corresponding previous years are the calendar years 1953 and 1955. The dispute between the assessee company and the department is in regard to the levy of corporation tax, more popularly known as super-tax, on income derived by the assessee company from Mysore Durbar Securities. The relevant facts relating to the said issue are these.