JUDGMENT OF APPELLATE TRIBUNAL

Under Section 33 of the Indian Income Tax Act (XI of 1922) the Income Tax Appellate Tribunal, Calcutta Bench, consisting of RAM PRASAD VARMA (Judicial Member) and P.N.S. AIYAR (Accountant Member) delivered the following judgment on November 5, 1941.

"The Bar Council, Madras, has been assessed to Income Tax for the years 1939-40 and 1940-41 in respect of its income amounting to Rs. 9,708 and Rs. 11,189 respectively. These two appeals raise common questions of law and will be governed by one judgment given in this appeal No. R.A.A. No. 24 Madras of 1941-42.

2. The Bar Council, Madras, returned the above figures of income under protest to the Income Tax Officer and questioned its liability to pay the tax and the ground firstly, that its case is covered by the exemption mentioned in Section 4(3) clause (i) of the Income Tax Act and, secondly, that it is not one of the classes of persons liable to pay the tax which are mentioned in Section 3 of the Income Tax Act.

3. The Income Tax Officer held that the Bar Council is not exempt under the provisions of Section 4(3)(i) of the Income Tax Act and on the second question, viz., the status of the Bar Council