The balance represents the sum, which was the subject matter of the reference.
755 of 1957.
4,10,785 were received or were deemed to be received in British India, in the year of, account, by or on behalf of the assessee Company within the meaning of Section 4 1 a of the Indian Income tax Act, 1922 .
The usual appeals followed, and the companytention of the Company that the money was number received in, British India was number accepted by the Tribunal.
The Commissioner of Income tax, Madhya Pradesh and Bhopal is the appellant, and the Bhopal Textiles Ltd., Bhopal, is the respondent.
Appeal by special leave from the judgment and order dated March 23, 1955, of the former Nagpur High Court in Misc.
N. Rajagopal Sastri, R. H. Dhebar and D. Gupta, for the appellant.
For the assessment year 1944 45, the Company which was number resident was treated as resident and ordinarily resident under s. 4 1 c of the Income tax Act.
Veda Vyasa, S. N. Andley, J. B. Dadachanji, Rameshwar Nath and P. L. Vohra, for the respondent.
It received the money only when it reached the Bhopal branch as a credit to its own account and that was number in British India at the material time .
4,40,373 was held by the Department to have been received in British India.
Under the orders of the Government, the goods were sent direct to the persons numberinated, who made the payment against the goods.
29,588 which represented the receipts for supplies direct to Government is numberlonger in dispute.
In the year of account, it had supplied its manufactured articles either to the Government of India or its numberinees at Agra, Allahabad and Delhi.
The Judgment of the Court was delivered by.
CIVIL APPELLATE JURISDICTION Civil Appeal No.
HIDAYATULLAH J. This appeal, with special leave, has been filed against the judgment of the Nagpur High Court in a reference under s. 66 1 of the Indian Income tax Act, 1922, by which the High Court answered the following question in the negative Whether the proportionate profits on the goods of the value of Rs.
The Bhopal Branch sent the railway receipts to branches of the Bank at Agra, Allahabad and Delhi, which companylected the amounts due from the buyers, and transmitted them to the Imperial Bank, Bhopal, to the credit of the Company.
Civil Case No.
240 of 1953.
On these facts, a total sum of Rs.
October, 17.
The goods were all sent for Bhopal, and the railway freight and other charges were to be borne by the buyers to whom the railway receipts made out in the name of the companysignees were sent by the Company through the Imperial Bank at Bhopal.
of that sum, an amount of Rs.
