Judgment

JAGANMOHAN REDDY, J. :- These appeals are by the Commissioner of Income-tax, Bihar and Orissa, against the judgment of the High Court of Patna in references under Section 66 (2) of the Income-tax Act, 1922 (hereinafter called the Act ) which answered the questions referred to it in favour of the assessee and against the appellant.

2. We shall presently set out the questions called for by the High Court, but before we do so, it is necessary to state the facts on which those questions have to be determined.

3. The assessee is an individual having income from salary, interest on securities, rents from house properties, dividends etc. In the year 1954-55 for which the previous year is 1st November, 1952 to 31st October, 1953, the assessee filed a return on 28th February, 1955 declaring a total income of Rupees 2,60,737/-. On 24th February, 1958 a revised return was filed including therein property income amounting to Rs. 550/-. The Income-tax Officer completed the assessment on 30th September, 1958 on a total income of Rs. 21,15,845/- which included a sum of Rs. 10,80,000/- treated as the assessee s income from undisclosed sources "for investment in shares in the name of Sri Kal