Judgment

HEGDE, J. :- These are appeals by certificate from the decision of the High Court of Allahabad in a Reference under Section 66 (1) of the Income-tax Act, 1922 (to be hereinafter referred to as the Act).

2. The Income-tax Appellate Tribunal (Allahabad Bench) referred to the High Court for its opinion the following questions :

"(1) Whether on the facts and in the circumstances of the case, the receipt of Rs. 35,01,000/- constituted income liable to tax under Section 10 of the Income-tax Act ?

(2) Whether it was competent to the Appellate Assistant Commissioner to invoke the provisions of Section 12-B for the assessment of Rs. 35,01,000/- when the Income-tax Officer had assessed the amount under Section 10 of the Income-tax Act ?

(3) Whether on the facts and in the circumstances of the case the receipt of Rs. 35,01,000/- was taxable under Section 12-B of the Income-tax Act ?"

3. The High Court answered the first and the second question in favour of the Revenue and on the third question it recorded its opinion that on the facts and in the circumstances of the case, the receipt in question was not taxable under Section 12-B of the Act.

4. Aggrieved by the decision of the High Court th