Section 4 (1 ) so far as it is material reads as follows: "Section 4(1): Subject to the provisions of this Act, the total ' income of any previous year of any person includes all income, prof its and gains from whatever source derived which (a) are received or are deemed to be re ceived in the taxable territories in such year by or on behalf of such person, or (b) if such person is resident in the taxa ble territories during such year, (i) accrue or arise or any deemed to accrue or arise to him in the taxable territories during such year, or (ii) accrue or arise to him without the taxable territories during such year, or (iii) . . (c) if such person is not resident in the taxable territories during such year, accrue or arise or are deemed to accrue or arise to him in the taxable territories during such year: (emphasis supplied) "Provided that . . " The principles deducible from Sec.