DEONITI PRASAD SINGH Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS is a reference by the Appellate Tribunal under Section 66(1) of the Indian Income-tax Act for the opinion of the Court upon the following question :-

(2.) THE question formulated arose out of assessment proceedings of the assessee for the years 1942-43 and 1943-44, and although a single reference has been made, it is necessary to state the facts for the year 1942-43 assessment first.

(3.) IT is, therefore, clear that the handnotes and the mortgage bonds obtained by the assessee from his agricultural tenants were treated as his investments in money-lending business by the department, and the assessee was actually taxed on a sum of Rs. 10,000 taken as accrued interest on these investments in the assessments year 1938-39.