G. P. SINGH, C. J.--,The question of law referred in this reference under S. 256 (1) of the Income-tax Act, 1.961, by the Income-tax Appellate Tribunal "Whether on the facts and an the circumstance of the case, there is justification in law to hold that the applicant is not entitled to exemption under section 23(3) (a) of the Income-tax Act, 1961 ?"
2. The reference relates to assessm ent years 1969-70 to 1972-73. The facts found by the Tribunal are that the assessee lives with his father in the same town where the house in respect of which the relief under section 23 (3) is claimed is situated. The distance between the two houses is two miles.
The assesses is a bachelor and, therefore, for his convenience resides with his' father. The Tribunal clearly bound that it was not shown that by living in his own house the assesses cannot look after the partnership business of manu--facturing bidi. It was further found that the assesses had not left his house vacant on account of compulsion of business, but on account of his personal convenience. A reading of section 23 (3) of the Act will go to show that the assesses has to prove, for getting the benefit of that provision, that the residential house could not be occupied by him by reason of the fact that owing to his employment, business or profession carried on at any other place, he has to reside at that other place in a building not belonging to him. Some nexus between the fact of residing in a building not belonging to the assessee and his employment, business or profession must be shown before the benefit under section 23 (3) can be claimed in respect of the residential house which is not occupied by the assessor. On the findings reached by the Tribunal, this nexus or connection has not been restablisbed. The assessee, therefore, is not entitled to the exemption.
3. For the reasons given above, we answer the question referred as follows "There was justification in law to hold that the-.Assessee was not entitled to exemption under section 23 (3) of the Act."
There will, be no order as to costs.