TARAK NATH GUPTA Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) Tarak Nath Gupta, the assessee, was assessed to income-tax as an individual for the assessment year 1970-71. The assessee filed his return for the said assessment year on February 24, 1971. During the assessment proceedings, the Income-tax Officer found that the assessee had not shown in the return the income arising out of a truck of which the assessee was the owner since 1946. The assessee contended and also made a statement on oath under Section 131 of the Income-tax Act, 1961, that he did not own any vehicle. But, ultimately, the assessee admitted by his letter dated December 16, 1972, that the said truck stood registered in his name and as it was difficult for him to prove that it belonged to another person and not to him, he offered to be assessed on the income from the same. The Income-tax Officer also detected that the assessee had a savings bank account with Hindustan Commercial Bank Ltd., the interest arising from which had not been shown in his return. The assessee initially disputed that he had such an account, but later the assessee admitted that the account belonged to him.

(2.) On the facts found as aforesaid, the Income-tax Officer initiated proceedings for penalty against the assessee by a notice dated February 23, 1973, issued under Section 274 of the Income-tax Act, 1961, read with Section 271 thereof.

(3.) The assessment was completed on March 16, 1973. In the total income, a sum of Rs. 6,000 and a sum of Rs. 2 were added, respectively, on account of the truck and the said savings bank account. The said additions have been sustained on appeals preferred by the assessee.