K HABIBULLA Vs. RE

JUDGEMENT

(1.) The assessee for the assessment year 1938-39 was assessed under Section 23(1) of the Income-tax Act on his own return in respect of an item of Rs. 49,500 which was shown in the return under the head salaries; in a note attached to the return it was stated to be current and arrear allowance drawn as mutwalli from the wakf funds.

(2.) After the assessment was made the assessee appealed to the Appellate Assistant Commissioner on the ground, amongst other things, that the sum of Rs. 49,500 was shown in the return by mistake and that though the return itself did not indicate it, the amount mentioned was really agricultural income within the meaning of Section 2 of the Income-tax Act and as such was not liable to tax.

(3.) The assessee stated that the first return was drawn up by his officers and that he being a busy gentleman, had not had time to scrutinise the return before he signed it, and that the return was made in error; the sum ought to have been excluded as it was really agricultural income and not assessable.