HIMMATRAM LAXMINARAIN Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) M/s. Himmatram Laxminarain (hereinafter called "the assessee") carried on business in gur and shakkar and also had income from commission agency. For the assessment year 1970-71, in the return filed, the assessee declared income of Rs. 6,660 and the total sales shown therein were of Rs. 33,148. During the assessment proceedings, the Income-tax Officer discovered that the assessee had been doing business outside the books of account and in that secret business, the assessee had invested an amount of Rs. 73,075. The explanation furnished by the assessee was not accepted and under Section 69 of the Income-tax Act, 1961 (hereinafter called "the Act"), the sum of Rs. 73,075 was added as income from undisclosed sources. On the assessee's appeal, the Appellate Assistant Commissioner affirmed the estimated sales and the assessee's further appeal before the Tribunal also remained unsuccessful. The Tribunal has referred the following question for the opinion of this court:

(2.) ON a reading of the question referred to us, we have to opine whether, on the recorded facts, the Tribunal was right in making an addition of Rs. 73,075 under Section 69 of the Act. The recorded facts in terms of the order of the Tribunal are as follows :

(3.) WE have only to answer the question referred to us wherein this point does not arise. Hence, on the facts found, the Tribunal was right in sustaining the addition of Rs. 73,075 under Section 69 of the Act.