9911796707
TMI Blog1982 (6) TMI 11X X X X Extracts X X X X X X X X Extracts X X X X ..... determination is as follows: " Whether, on the facts and in the circumstances of the case, the double taxation relief under the Income-tax (Double Taxation Relief) (United Kingdom) Rules, 1948, is to be worked out on the amount of Rs. 15,93,557 or on the amount of Rs. 18,06,813 ? The facts giving rise to this reference, in so far as they are material for the appreciation of the controversy raised before us, are as follows: The assessee is a company incorporated in the United Kingdom. The assessee derived its income from business in threads in India, Pakistan and the United Kingdom in the relevant previous year. The assessee's total income in India was determined at Rs. 18,76,536 for the relevant assessment year. This income included an i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts for granting of relief in respect of double taxation or for avoidance thereof. The I.T. (Double Taxation Relief) (United Kingdom) Rules, 1948, were framed under the amended s. 49A. The said Rules are not applicable in respect of the years subsequent to 1948-49, but We are not concerned with that. We are concerned with the year 1948-49. An agreement for avoidance of double taxation was entered into in 1947 between India and Pakistan under s. 49AA of the said Act of 1922 which was then in force. Under that agreement, certain relief was given in respect of income assessed to double taxation in Pakistan as well as in India. Rule 3 of the I.T. (Double Taxation Relief) (United Kingdom) Rules, 1948 (referred to hereinafter as " the Double Taxat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es, the assessee is clearly entitled to relief in respect of Rs. 18,06,813 as the assessee was assessed to that income in India as well as in the United Kingdom, irrespective of the fact that the Indian income includes also a sum of Rs. 2,82,979 in respect of which some abatement in income-tax was granted on the ground that the said amount was also assessed to tax in Pakistan. As pointed out by the Tribunal, the short question which arises is as to what is the interpretation which can be given to the expression " any part of his income " in the aforesaid r. 3 of the Double Taxation Relief Rules. There is no dispute that the Indian income of Rs. 18,06,813 was assessed also to tax in the United Kingdom, and in view of the plain language of r. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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