Per Chaturvedi, J.M. - Under section 254(3) of the Income-tax Act, 1961 (hereinafter called the Act), the President of the Income-tax Appellate Tribunal (hereinafter called the Tribunal) has constituted the present Bench and referred the following question :—

"Whether the sum of Rs. 37,00,000 received by the appellant from his landlord for surrender to tenancy rights is exigible to tax ?"

2. The factual matrix of the case : The assessee is a Chartered Accountant. He was in possession of bungalow No. 3, Raj Niwas Marg, Civil Lines, Delhi, which was used for office-cum-residential purposes. Originally the bungalow was leased under a lease deed dated 11-6-1956. The duration of the lease was 11 months and 29 days. The lessee was restrained from sub-letting the bungalow or any part thereof.

3. On expiry of the said period of lease, the landlord sought eviction of the appellant vide Misc. suit No. 57 of 1957 before the Sub-Judge. Vide order dated 27th December, 1960, the suit of eviction was dismissed. It was held by the Sub-Judge that the tenancy was not for 11 months and 29 days because the landlord charged one year’s rent in advance.

4. Being aggrieved of the order of Sub-Judge, land