BHOLA NATH KESARI Vs. DIRECTOR OF STATE LOTTERIES

JUDGEMENT

(1.) THIS and the connected petitions raise a common question and hence are being disposed of by a common judgment.

(2.) THE petitioner won a prize of Rs. 1,00,000 in the twentieth draw of the U.P. State Lotteries held on 8th December, 1972. Under the rules one-tenth of the prize money goes to the person who sells the ticket. THE petitioner was thus entitled to Rs. 90,000. Out of this sum, a sum of Rs. 31,050 was deducted on account of income-tax and the petitioner was paid the balance of Rs. 58,950. A certificate of deduction of income-tax was duly sent to the petitioner by the Director-of State Lotteries, the second respondent. THE petitioner has challenged the deduction of income-tax and has impleaded as respondents besides the State of Uttar Pradesh, the Director of State Lotteries, the Commissioner of Income-tax, Lucknow, the Union of India and the Income-tax Officer, Lucknow.

(3.) SECTION 10(3) which provided that in computing the total income of any person, any receipts which are of a casual and non-recurring nature, shall not be included, was replaced by the following :