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2013 (9) TMI 768 - HC - Income TaxNature of additions made u/s 68 - whether income disclosed as commodity income would fall under the head Income from other source – setting of losses from the income as disclosed - Held that:- nature and source of income from derivative trading of Commodities remains bogus. Mensria of assessee is proved beyond doubt. - Just because the income is credited by assessee does not make the income genuine – the nature and source remains unexplained. The expression “income from other sources” would come into play only where income is relatable to a known source. Where the income is not relatable to any known or any bona fide source, it would necessarily be brought to tax or considered as income of the assessee, under Section 68 of the Act. Section 68 of the Act clearly provides that where a sum is credited in the books of assessee and the assessee is unable to offer any explanation about the nature and source thereof, or the explanation offered is not satisfactory, the sum so credited may be charged to income tax as the income of the assessee of that previous year – Decided against the Assessee.
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