JUDGMENT

D.P. Wadhwa, J.-The question that calls for consideration is : Whether, on the facts and in the circumstances of the case, the assessment made by the Income-tax Officer for the Assessment Year 1962-63 under Section 143(3) read with Section 147 of the Income Tax Act, 1961 is valid in law?

2. The case concerns the H.E.H. the Nizam s second Supplemental Family Trust. The trustees of the trust filed income tax return for the Assessment Year 1962-63 on behalf of the beneficiaries on April 2, 1964. Along with the return they filed an application under Section 237 of the Income Tax Act, 1961 (for short the Act ) for refund of tax of Rs. 20,050.52 deducted at source on interest on Government securities and dividends. Section 237 of the Act provides for refund and it is as under :-

"237. If any person satisfies the Assessing Officer that the amount of tax paid by him or on his behalf or treated as paid by him or on his behalf for any assessment year exceeds the amount with which he is properly chargeabale under this Act for that year, he shall be entitled to a refund of the excess."

Under Rule 41 of the Income Tax Rules, 1962 (for short the Rules ) a claim for refund is