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Issues Involved:
1. Deductibility of repairing charges of the building under section 6(f) of the Orissa Agricultural Income-tax Act, 1947. 2. Deductibility of maintenance allowance for the Rajmata under section 6(k) of the Orissa Agricultural Income-tax Act, 1947. Issue-wise Detailed Analysis: 1. Deductibility of Repairing Charges of the Building: The first issue concerns whether the repairing charges of the building of the assessee at Raj Kanika amounting to Rs. 10,088 are admissible under section 6(f) of the Orissa Agricultural Income-tax Act, 1947. The relevant portion of section 6(f) allows deductions for "the amount paid in the previous year on account of the repairs to any capital assets used in connection with the collection of rents due in respect of the land from which such agricultural income is derived." The Assistant Collector of Agricultural Income-tax initially disallowed the deduction, arguing that no income from this building was taken in the assessment. However, the Member, Board of Revenue, disagreed and found that the assessee is entitled to a deduction of one third of the repairing charges. The Agricultural Income-tax Authority conceded to this but opposed the claim for the entire charges, arguing that the entire building was not used in connection with the collection of rents. The court held that the residential building of the land-owner, used in connection with the collection of rents, satisfies the condition under section 6(f). The court emphasized that it is not for the Income-tax Authorities to determine the extent of the house necessary for the land-owner's residence for rent collection purposes. The assessee is entitled to build a house according to his own comfort and needs, and the entire repairing charges should be deductible. The court referred to several precedents, including the cases of Maharajadhiraj of Darbhanga v. Commissioner of Income-tax, Bihar and Orissa and Rajendra Narayan Bhanja Deo v. Commissioner of Income-tax, Bihar and Orissa, which supported the view that the Income-tax Authorities should not question the extent of the residential buildings required by the land-owner for rent collection. In conclusion, the court answered that the entire repairing charges of Rs. 10,088 are to be deducted under section 6(f) of the Orissa Agricultural Income-tax Act, 1947. 2. Deductibility of Maintenance Allowance for the Rajmata: The second issue pertains to whether the petitioner is entitled to a further deduction of Rs. 4,505-14-0 towards the maintenance allowance of the Rajmata. The assessee claimed a deduction of Rs. 12,000 as maintenance allowance, which included Rs. 500 monthly payments to the widow and additional expenses on items like doctor's fees, costs of medicines, and religious ceremonies. The Department allowed a deduction of Rs. 6,000 but disallowed the additional expenses, arguing they were not "actually paid" to the widow as required by the Orissa Agricultural Income-tax Rules, 1948. Section 6(k) of the Orissa Agricultural Income-tax Act, 1947, allows for deductions prescribed under the rules. Rule 3(2) of the Orissa Agricultural Income-tax Rules, 1948, permits deductions for "maintenance allowance actually paid" to the widow of a previous proprietor. The court held that the term "actually paid" includes money spent on behalf of the widow for her benefit towards maintenance expenses. The court rejected the Department's narrow interpretation, stating that if the widow directs the money to be spent in a particular way for her maintenance, and it is spent accordingly, it should be deductible. The court referred to Iyer's Law Lexicon, which defines maintenance as subsistence, supply of necessaries and conveniences, and support. In conclusion, the court answered that the further sum of Rs. 4,505-14-0 spent by the assessee on the subsistence, supply of necessaries and conveniences for the lady constitutes maintenance allowance within the meaning of the Orissa Agricultural Income-tax Act, 1947. Reference Disposition: The reference was disposed of accordingly, with the assessee entitled to costs of the court assessed at Rs. 100.
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