Chagla, C.J. :- The assessee, Sir Kasturchand Ltd., is a private limited company and the assessment years under reference are 1941-42, 1942-43 and 1943-44, the relevant previous years being the financial years 1940-41,1941-42 and 1942-43. The annual general meetings of this company were held respectively on 16th November 1941, 26th August 1942 and 23rd August 1943, is respect of the three relevant previous years, and in none of these general meetings any dividend was declared and therefore no dividend was distributed. Now it would appear that the profits according to the accounts of the company for the accounting year 1940-41 was Rs. 35,155, for the accounting year 1941-42 was Rs. 29,882 and for the accounting year 1942-43 was Rs. 13,778. On assessment the profits were assessed by the Income-tax Officer at Rs. 48,586 for 1941-42, Rs. 82,233 for 1942-43, and Rs. 61,872 for 1943-44. The Income-tax Officer made an order under S. 23A(1), Income-tax Act on 23rd May 1946 for the previous year 1940-41 and on 18th May 1946 for the following two years that the sums of Rs. 34,610, Rs. 56,170 and Rs. 44,913 respectively a ball be deemed to have been distributed as dividend among the