COMMISSIONER OF INCOME TAX Vs. S L MATHIAS

JUDGEMENT

(1.) THE Commissioner of Income-tax applies for a certificate permitting him to appeal to His Majesty in Council in respect of a decision of this Court on the effect of the second proviso to Sec. 4(2) of the Indian Income-tax Act. THEre can be no doubt that the question involved is a substantial question of law. As a matter of fact this Court placed a different interpretation on the proviso from that placed upon it by the Calcutta High Court.

(2.) THE application is, however, opposed by the respondent on the ground that an appeal to His Majesty in Council would put him to considerable expense. He contends that if leave is granted it should be subject to the condition that the income-tax authorities pay his costs. It is quite clear that we have no power to impose any such condition and this was pointed out by this Court in the case of Rajarajeswari Sethupathi v. Tiruneelakantam Servai (44 M.L.J. 217). Our powers are confined in this respect to those conferred by Sec. 66-A of the Income-tax Act and the provisions of the Code of Civil Procedure, which have been made applicable to such appeals. THEir Lordships of the Privy Council have on occasions, stipulated in granting special leave to appeal that the appellant shall bear the costs. But we have no such powers, as I have already indicated. When the appeal is heard in the Privy Council their Lordships will then decide the question of costs.