Judgement

SHAH, J.:- Jaipur Udyog Ltd.,- a Company-registered under the Indian Companies Act, 1913, established in 1953 a cement factory at Sawai Madhopur in the State of Rajasthan. From time to time the Company filed its returns under the Income-tax Act, 1922, and after the repeal of that Act under the Act of 1961. The following chart sets out the income or loss returned by the Company for the years 1954-55 to 1964-65 and the income or loss computed for the years by the Income-tax Officer on assessment:

ar of Assessment Income or loss returned by the Company Income or loss computed by the I. T. O.

1954-55 61,24,270 (Loss) 22,53,457 (Loss)

1955-56 4,59,963 (Profit) 19,84,447(Profit)

1956-57 12,02,958 (Profit) 16,88,480 (Profit)

1957-58 23,05,305 (Loss) 12,53,222 (Loss)

1958-59 40,44,779 (Loss) 31,48,707(Loss)

1959-60 28,77,487 (Loss) 20,62,180 (Loss)

1960-61 11,35,365 (Loss) Assessment pending.

1961-62 66,086 (Loss) Assessment pending.

1962-63 44,93,236 (Profit) Assessment pending.

1963-64 74,52,402 (Profit) Assessment pending.

1964-65 59,89,757 (Profit) Assessment pending.

2. Against the orders of assessment made by the Income-tax Officer for the year 1954-55 to 1959-60 determining