COMMISSIONER OF INCOME TAX Vs. SHASHI MODI

JUDGEMENT

(1.) The Income-tax Appellate Tribunal, New Delhi, has referred the following question of law under Section 256(1) of the Income-tax Act, 1961 (hereinafter referred to as "the Act"), for opinion to this court :

(2.) The reference relates to the assessment year 1976-77.

(3.) Briefly stated the facts involved in the present case are as under : The previous year ended on March 31, 1976. The respondent got married on November 25, 1975. In her return she had disclosed that she had jewellery worth Rs. 73,887 as on March 31, 1975, and in that respect had filed a confirmation from her father confirming the same, annexed with the list of jewellery at the time of her marriage. In the letter of confirmation it has been stated that she belonged to a large "Marwari" family with more than 100 members and as per their custom it was necessary for them to present gold and silver articles, utensils and small pieces of jewellery on major functions in the family. The Income-tax Officer in 1976-77 while framing the assessment for the assessment year 1976-77 made the addition of a sum of Rs. 73,887 on the ground that the source of investment had not been explained under Section 69A of the Act. In appeal the Appellate Assistant Commissioner has reversed the finding of the Income-tax Officer and directed deletion of the said amount. The Tribunal after reappreciating the confirmation letter, reversed the finding of the Appellate Assistant Commissioner and confirmed that of the Income-tax Officer. The respondent thereafter filed an application seeking rectification of the Tribunal's order on the ground that the finding was regarding addition of Rs. 7,065 and not to the addition of Rs. 73,887. The Tribunal has allowed the application and recalled its earlier order.