JUDGMENT : S.C. Mohapatra, J. - This is an application u/s 256(2) of the Income Tax Act, 1961 (hereinafter referred to as the "the Act"). 2. The assessee is an unregistered firm. It carries on business in kendu leaves. There was nationalisation of the kendu leaf trade. The assessee which had buildings for being used in its business, rented them out and got rent. The Income Tax Officer and the Appellate Assistant Commissioner held that this rent is the income out of the house property, since the assessee has closed the business. The Tribunal held that merely because there is nationalisation of the kendu leaf trade, it does not mean that the business of the assessee in kendu leaves has been closed. When the business is not closed and the houses were not being used for the purpose of business that year, they have been rented out. Therefore, it cannot be said to be income from house property or income ancillary to the same. On this finding, they have allowed the appeal of the assessee. 3. Application for reference u/s 256(1) was made and the Tribunal has refused the same. 4. When on appreciation of evidence, the Tribunal has come to a conclusion that the business has not been closed, it becomes a question of fact. A question was posed as to whether there is sufficient material to come to such a finding. When the business restarts, there is a presumption that it continues. There is no prohibition that kendu leaf in any form cannot be carried on as a trade. Merely because there is nationalisation of kendu leaves, it cannot lead to an irresistible inference that the business has been closed. In view of this, we agree with the Tribunal that a question of law does not arise out of the same. 5. In the result, the application is dismissed. 6. No costs. J.M. Mahapatra, J. 7. I agree.