Judgment

GROVER, J.: This is an appeal by certificate from a judgment of the Madhya Pradesh High Court in an Income-tax Reference. The Reference related to the assessment made on the assessee for the year 1962-63 for which the accounting period was the year ending March 31, 1962. The assessee carried on business as sole selling agent of M/s Mohanlal Hargovindas, Jabalpur. The assessee succeeded to this business on the death of her husband on or about February 17,1960. It would appear that M/s Mohanlal Hargovindas had recovered a certain amount towards sales-tax from the assessee s husband. relating to the period January 26, 1950 to March 31, 1951. In an appeal filed by the said firm, however, the Assistant Commissioner of Sales Tax remitted the sum of Rs. 24,341/- so recovered by the firm by an order dated November 31, 1960. consequently M/s. Mohanlal Hargovindas refunded that amount to the assessee by means of a draft dated October 31, 1961. This draft was received by the assessee on November 9, 1961 which fell in the accounting period. The Income-tax Officer sought to tax this amount under the provisions of S. 41 (1) of the Income-tax Act 1961, hereinafter called the Act . He did