Law:

Section:

Section 4, read with section 254 of the Income-tax Act, 1961 [Corresponding to section 3, read with section 34 of Indian Income-tax Act, 1922] - Income - Chargeable as - Assessment year 1948-49 - Assessee-HUF adopted Diwali year as its previous year - For period 20-5-1946 to 12-11-1947, the assessee was assessed to tax for assessment year 1948-49 in respect of some entries of loans found appearing in account books dated 28-11-1946, 23-12-1946, 25-12-1946 and 6-1-1957 which according to ITO's findings, constituted income from undisclosed sources - AAC affirmed order of ITO - Before Tribunal assessee raised a point that an item falling within financial year immediately preceding assessment year in question cannot be considered - Tribunal, because said point was not raised earlier did not entertain said point - Whether assessee's option to choose an accounting year other than one ending on 31st March as a previous year is limited to known sources and as far as undisclosed sources of income are covered there is neither any possibility of assessee exercising such option nor any possibility of applying any thing but principal definition of previous year, namely, that it is a period of 12 months ending on March 31 next preceding year for which assessment has to be made, - Held, yes - Whether on that basis concerned would fall within previous year corresponding not to assessment year 1948-49 but with immediately preceding year 1947-48 - Held, yes - Whether Tribunal has discretion to permit point of law to be raised for first time in appeal - Held, yes - Whether, on facts, Tribunal was not right in refusing to entertain point relating to said sum and assessability thereof for assessment year 1948-49 Held, yes FACTS The assessee-HUF adopted Deepavali year as its accounting year. Their income for the accounting period 20-5-1946 to 12-11-1947 was assessed to tax for the assessment year 1948-49. An addition was made by ITO in respect of some entries of loans found in the account books which was treated by the ITO as not genuine. These entries were made and dated 28-11-1946, 23-12-1946, 25-12-1946 and 6-1-1947. On appeal, the AAC while agreeing with the ITO's findings, held…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492