( 1 ) "by these applications, the assessee requires the Appellate Tribunal to refer to the High Court certain questions of law which are said to arise out of the Tribunal s consolidated order dated the 25/5/1960 in I. T. A. Nos. 8133 and 8134 of 1956-57. Insasmuch as, in our opinion, questions of law do arise out of the aforesaid order, we hereby draw up a statement of the case and refer them to the High Court of Judicature at Chandigarh under section 66 (1) of the Indian Income-tax Act, 1922.

( 2 )

(A) The assessee is a public limited company carrying on life insurance business. Assessments for the years 1951-52 and 1952-53 were made by the Income-tax Officer on the basis of the last actuarial valuation made for the period ending 31st December, 1950. These assessments were completed on 30th December, 1954 on total incomes of Rs. 1,03,381. 00 and Rs. 59,043. 00 respectively. The assessments were made under Rule 2 (b) of the Schedule to the Income Tax Act. In computing the taxable surplus the Income Tax Officer excluded:-

(I) a sum of Rs. 62,678. 00 for dividends from the Industrial Finance Corporation of India; and

(II) a sum of Rs. 3,40,065. 00 as interest on securitie