High Court advisory jurisdiction under income-tax law may amplify a referred question, but cannot demand fresh evidence or raise new issues.

Under section 66(4) of the Indian Income-tax Act, the High Court's advisory jurisdiction is confined to questions of law arising from the Tribunal's order and to facts already admitted or found. It cannot introduce a wholly new issue or compel fresh evidence, but it may amplify a referred question where the broader form already includes the point to be examined. On the stated facts, the referred question was wide enough to cover whether there had been an express or implied request for payment by cheque, relevant to the place of receipt of income, and the direction did not require an impermissible re-opening of evidence.

---

---

Issues: Whether the High Court had jurisdiction under section 66(4) of the Indian Income-tax Act to call for a supplemental statement of the case on the question referred, and whether the direction necessarily required a fresh enquiry beyond the facts already found by the Tribunal.

Analysis: The appeal turned on the scope of the High Court's advisory jurisdiction under section 66(4). That power is confined to questions of law arising out of the Tribunal's order and to facts admitted or found by the Tribunal. A High Court cannot introduce an entirely new question or compel fresh evidence, but it may amplify a question already referred if the wider form of the question includes the point sought to be examined. On the facts, the question referred was broad enough to permit consideration of whether there had been an express or implied request for payment by cheque, which would bear on the place of receipt of income. The direction of the High Court was not shown to require an impermissible re-opening of evidence, and it was distinguishable from the earlier case where a wholly new issue had been raised.

Conclusion: The High Court did not exceed its jurisdiction under section 66(4); the assessee's challenge failed.

Ratio Decidendi: Under section 66(4) of the Indian Income-tax Act, a High Court may seek a supplemental statement only on a question of law arising from the Tribunal's order and on the basis of facts already found or admitted, but it may examine an issue that is an integral part of the question referred and does not require fresh evidence.

---