( 1 ) THIS reference under Section 66 (1) of the Indian Income-tax Act raises the following questions for an answer - (1) Whether on the facts and in the circumstances of the case the Tribunal was right in holding that the provisions of Section 42 (1) of the Indian Income-tax Act. 1922. had no application to the assessee's case in respect of the interest received on overdraft granted to the Calcutta Electric Supply Corporation Ltd. (2) Whether the computation of the amounts of taxable interest in the case of the tea company as made by the Appellate Assistant Commissioner and confirmed by the Tribunal. was in accordance with law

( 2 ) THE facts giving rise to these questions are briefly as follows:the assessment years are 1953-54 and 1954-55 for which the previous years are the calendar years 1952 and 1953 respectively. The assessee is a sterling banking company and has been assessed as a non-resident in both the years in question. During the relevant years in question. During the relevant years interests amounting to ?35. 576. 94 and ?42. 638. 23 were received by the assessee in the United Kingdom from Messrs. Calcutta Electric Supply Corporation. which is a com