( 1 ) IN this reference under Section 66 (1) of the Income Tax Act 1922, the following question of law has arisen for opinion of this Court:-Whether on the facts and in the circumstances of the case, the sum of Rs. 29,000. 00 was rightly held to be the income of the assesses?

( 2 ) THE Rungta Sons Limited [hereinafter described as the assessee) was the Managing Agent of several companies. The assessment year was 1952-53 and the corresponding accounting year ended on the 5th July 1951. The managed companies, viz. , Oriental Industrial Engineering Company Limited, Orient Batteries Limited, Rungta Engineering and Construction Company Limited, Variety Engineering Works Limited, Bengal General Trading Company Limited and M. G. R. Iron and Steel Company Limited were liable to pay Managing Agency remuneration and commission to the assessee company during the accounting year as aforesaid amounting to Rs. 29,000/- only. The accounting year of all the managed companies closed on the 5th July 1951. On the 16th December 1952, the shareholders of the assessee company passed a resolution for-going the receipt of the allowance. There were other resolutions of the same nature made b