COMMISSIONER OF INCOME TAX Vs. RAJA SRI SRI KALYANI PRASAD DEO

JUDGEMENT

(1.) -

(2.) THIS is a reference under section 66 (1) of the Indian Income-tax Act, 1922, by the Appellate Tribunal, Calcutta Bench, asking the opinion of this Court upon the following question : Whether the proportionate amount of the revenue paid from the estate, to which appertain the coal lands from which the royalties arose, or a reasonable portion of it, ought to have been allowed as a deduction under Section 12 (2).

(3.) AT page 240 his Lordship observed : Their Lordships were unable to ascertain upon what footing the appellant had been assessed in respect of the income derived from his zemindary, i.e., whether on the gross income or after some allowance had been made in respect of the jama assessed and paid upon the lands. Their Lordships are of opinion that, in assessing the appellant to income-tax in respect of the income derived from the zemindary, his income, profits and gains from that source should be computed after making proper allowance in respect of the jama assessed and paid.