COMMISSIONER OF INCOME TAX Vs. DEVADASAN

JUDGEMENT

(1.) Acting under S.66 of the Indian Income Tax Act, 1922, the Income Tax Appellate Tribunal, Madras Bench has referred the following question to this Court:

(2.) This reference was originally numbered as I. T. R.32 of 1963. But when the case came up for hearing, this Court found that the Power of Attorney executed by the heirs of Cherutty was necessary for deciding the question referred to us and accordingly called for a fuller statement of the case under sub-section (4) of S.66 of the Indian Income Tax Act, 1922 by order dated 12th August, 1964. We have now before us the additional statement as well as the copy of the Power of Attorney. And as a result of the discussion at the Bar, it is now clarified that the only income with which we are concerned in this reference is the income derived by the felling of trees from a forest area that had been taken on a Verumpattam 'lease' by Cherutty the deceased. Cherutty died on 15 10 1956 and we are concerned in this reference with the question of assessment for the two years 1959-60 and 1960-1961.

(3.) The heirs of Cherutty had executed a Power of Attorney on 24-10-1956 in favour of one Devadasan who is also one of the heirs of Cherutty. This Power is Annexure-D and Para.1 and 2 reading as under, enumerating the powers of Devadasan are the material ones for answering the question raised.