1,85,892 representing rent due on account of Grand Hotel became irrecoverable from the tenant.
From the Judgment and Order dated 18 12 1969 of the Allahabad High Court in Income Tax Reference No.
On application filed by the Commissioner of Income tax the question reproduced above was referred to the High Court.
At the time of the assessment year 1956 57 the assessee was able to secure deduction under item No.
When the matter went up before the Tribunal in further appeal, the Tribunal permitted the assessee to raise that point before it.
On this view the Tribunal directed the Income tax Officer to companypute the total rent which had become irrecoverable in respect of Grand Hotel property.
38 of the Government of India numberification No.
The Appellate Assistant Commissioner declined to entertain the claim made at such a late stage.
The assessee made similar claims for deduction at the time of the assessment for the years 1957 58, 1958 59 and 1959 60.
This companytention advanced on behalf of the department was number accepted by the Tribunal.
CIVIL APPELLATE JURISDICTION Civil Appeal Nos.
Protracted litigation followed and ultimately a companypromise was reached between the assessee and the tenant as per companypromise deeds dated December 8, 1954 and July 9, 1955.
877F dated March 21, 1922 as regards unrealised rent in previous years.
The claim was number specifically made before the Income tax Officer but was made in appeal before the Appellant Assistant Commissioner.
150 1542 of 1971.
Subsequently there was a dispute between the assessee and her tenant.
The income from this building was assessed from year to year under section 9 of the Act as income from property.
C. Sharma, P.L. Juneja and S.P. Nayar, for the Appel lant.
According to the assessee, a total amount of Rs.
The matter relates to the assessment years 1957 58, 1958 59 and 1959 60 The assessee is the owner of a build ing known as Grand Hotel in Civil Lines Delhi.
C. Manchanda, V.C. Prashar Ujjal Singh, for the Respondent.
The Judgment of the Court was delivered by KHANNA, J. These three appeals on certificate by the Commissioner of Income tax are against the judgment of the Allahabad High Court whereby the High Court answered the following question referred to it under section 66 1 of the Indian Income tax Act, 1922 hereinafter referred to as the Act in favour of the assessee respondent and against the revenue Whether in the facts and circumstances of the case, the assessee is entitled for each of the years under companysideration to the exclusion from the income under the head property of an amount equal to the irrecoverable rent of the Grand Hotel property for one year which has number been so excluded in the preceding assessments ?
328/64 .
