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Cit, Ernakulam vs P.K. Noorjahan (Smt) on 15 January, 1997

In the case of CIT v. Smt. P.K. Noorjahan (supra), the Hon'ble Supreme Court of India has affirmed the decision of Hon'ble Kerala High Court. In that case, the issue related to investments made by the assessee, a Muslim lady aged 20 years, in the purchase of land, which was not found recorded in the books of accounts. The explanation of the assessee as to the source of the purchase money for the investment was not found to be satisfactory by the assessing officer, who made addition under section 69. The Appellate Assistant Commissioner concurred with the findings of the assessing officer. The Tribunal found the explanation about the nature and source of purchase money unsatisfactory, but it was of the opinion that although the explanation was liable to be rejected, but section 69 of the Income Tax Act, 1961, conferred only the discretion upon the Income Tax Officer to deal with the investment as income of the assessee and that it did not make it mandatory on his part to deal with the investment as income of the assessee as soon as latter's explanation happened to be rejected. On reference to the Hon'ble High Court, the view taken by the Tribunal was affirmed. On further appeal, the Hon'ble Supreme Court of India upheld the decision of Hon'ble High Court and observed as under :
Supreme Court of India Cites 1 - Cited by 410 - Full Document

Sumati Dayal vs Commissioner Of Income-Tax, Bangalore on 28 March, 1995

In the case of Sumati Dayal v. CIT (supra), the issue related to the cash deposits under section 68. It was held in that case that in all cases, in which a receipt is sought to be taxed as income, the burden lies on the department to prove that it is well within the taxing provision and if a receipt is in the nature of income, the burden of proving that it is not taxable, because it falls within the exemption provided by the Act lies upon the assessee.
Supreme Court of India Cites 11 - Cited by 1298 - S C Agrawal - Full Document
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