Viscount Simon. -

This appeal from a judgment of the Rhodesian Court of Appeal which affirmed a judgment of the High Court of Northern Rhodesia, raises the question whether certain additional assessment to income-tax made in Northern Rhodesia upon the appellant company, the British South Africa Company, for the years ending 31st March 1938, 1939 and 1940, were validly made and ought to be upheld. Inasmuch as the issue in their Lordships opinion ultimately turns upon the nature of the business carried on by the company and of the receipts, in respect of which the assessments in question were made, a consideration of the company's history and of its transactions in relation to these receipts is necessary. The company was incorporated by Royal Charter on 29th October 1889. The Charter recites the petition by the Duke of Abercora and others associated with him for incorporation and that the existence of a powerful British company controlled by Her Majesty's subjects in whom she had confidence and having its principal field of operations in that region of South Africa lying to the north of Bechuanaland and to the west of Portuguese East Africa would be advantageous to the commercial and