Judgment

DAS GUPTA, J. : These two appeals raise the question whether certain buildings belonging to the respondent the British India Corporation Ltd. in one appeal and the respondent Shri Gopal Paper Mills Ltd., in the other appeal, are liable to taxation under the Punjab Urban Immovable Property Tax Act, 1940. The buildings in both these cases are situated in the rating area shown in the Schedule to the Act and would consequently be liable to taxation under Section 3 of the Act unless the exemption provided in Section 4 of the Act is available. That section provides that the tax shall not be levied in respect of the properties mentioned in clauses (a) to (g) thereof. Clause (g) mentions "such buildings and lands used for the purpose of a factory as may be prescribed". Prescribed" has been define as prescribed by the rules made under the Act . Rule 18 of the Punjab Urban Immovable Property Tax Rules, that were framed by the Punjab Government in 1941, prescribed buildings and lands for the purpose of cl. (g) of Section 4.

2. The Assessing Authority rejected the claims for exemption made by the respondents and assessed the buildings for the purpose of taxation. The appeals to the De