This appeal is brought from a judgment of the High Court of Judicature at Lahore dated 23rd March, 1944 which was delivered on a reference made by the Commissioner of Income-tax, West Punjab, N.W.F. and Delhi Provinces under section 66(3), Income-tax Act (XI of 1922) pursuant to a mandamus issued by the same Court on 3rd April, 1941. The appeal raises somewhat complicated questions of procedural and substantive law and it is necessary to state the facts at some length. The respondents, the Tribune Trust, which will generally be referred to as “the respondents”, was created by one Sardar Dayal Singh in the year 1898 and it appears to have been assessed to, and to have paid, incometax on the income profits or gains of its property, from the year 1917-18 to the year 1931-32. But in respect of its assessment for the year 1932-33 it raised an objection on the ground that it was exempt from taxation by virtue of section 4(3)(i), Income-tax Act already mentioned, which provides,

“This Act shall not apply to the following classes of income:- (i) any income derived from property held under trust or other legal obligation wholly for religious or charitable purposes.....”

This cla