COMMISSIONER OF INCOME TAX Vs. HARA SINGH FETHEJA

JUDGEMENT

(1.) IN this reference under s. 256(2) of the IT Act, 1961 (`the Act') for the asst. yr. 1979-80, the following question of law has been referred to this Court:

(2.) THE assessee is an individual. THE assessment year involved is 1979-80 for which the accounting year ended on 31st March, 1979. THE IT Department carried out a search in the residential premises of the assessee on 19th Aug., 1981 and seized fixed deposit receipts of the total value of Rs. 1,60,700 out of which fixed deposits of Rs. 48,000 were found to be related to the assessment year under consideration. A deposit of Rs.36,000 was in the joint names of Smt. Indarjit Kaur (assessee's wife) and Smt. Rani Kamal Patheja (assessee's daughter). Another deposit of Rs. 12,000 was found in joint names of Smt. Indarjit Kaur (wife) and Shri Narendra Singh (assessee's son). Smt. Indarjit Kaur made a statement to the authorised officer at the time of search that she was only a housewife and had no source of income. She further admitted that all the fixed deposits in the joint names of self, son and daughter were made out of money given to her by her husband.

(3.) BEING aggrieved, the Revenue brought the issue in appeal before the Tribunal. The Tribunal after hearing both the parties at length confirmed the order of the CIT (A).