SHIV CHARAN DASS Vs. COMMISSIONER OF INCOME-TAX

JUDGEMENT

(1.) ASSESSEE, Shri Shiv Charan Dass, was a karta of the Hindu undivided family (hereinafter called as HUF ). The partial partition of the HUF assets took place on 31st March, 1951. In October, 1951, the HUF declared the sum of Rs. 20,000 under the Voluntary Disclosure Scheme, which was accepted by the department. Thereafter, according to the assessee, the money which was a subject-matter of that voluntary disclosure was kept with the wife of the assessee with the consent of his two brothers. The amount was kept lying with the said lady from the year 1951 up to the date of her death in May, 1956. After her death, the amount was deposited with the Central Bank of India in the names of two unmarried daughters of the assessee in equal shares, namely, Miss Sudarshan Kumari and Miss Satya Mehta. The deposits were made on 29th October, 1956, about four months after the death of the lady. The ITO asked the assessee to explain the sources of two deposits in the names of his two daughters and the assessee contended that the amount was out of the sum of Rs. 20,000 declared under the Voluntary Disclosure Scheme in October, 1951. The ITO did not accept the contention and added that amount as income from an undisclosed source.

(2.) THE assessee went up in appeal and the AAC allowed the assessee's appeal on the ground that the amount could be related to the amount voluntarily disclosed earlier.

(3.) THE department preferred an appeal before the Income-tax Appellate Tribunal, Amritsar Bench, Amritsar (hereinafter referred to as " the Tribunal")- The Tribunal reversed the order of the AAC and restored that of the ITO.