SANKAR PRASAD MITRA, C. J.

( 1 ) THIS is a reference under Section 256 (1) of the Income-tax Act, 1961. The assessee is a limited company. The assessment year is 1963-64. The relevant accounting year is the calendar year 1962.

( 2 ) THE assessee owns lands and buildings and derives income by way of rent from house properties, dealings in land, as well as income from other sources including dividend.

( 3 ) THE house properties were at Bombay, Delhi and Calcutta. One of the points of dispute is, whether the income derived from letting out of the buildings is to be computed under Section 22 or 28 or 56 of the Income-tax Act, 1961. , i. e. , whether it should be taxed as income from house property or income from business or income from other sources. The Income-tax Officer has taxed the income as income from house property under Section 22.

( 4 ) IN the Income-tax Officer's assessment order we find three items, viz. , (1) Gross rental; (2) Lift charges received ; and (3) Air-conditioning charges received. The total of the three is Rs. 11,17,679. Then the Income-tax Officer gives deductions in respect of (a) electric charges ; (b) lift upkeep expenses ; (c) water charges ; and (d) a

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