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2014 (12) TMI 306 - HC - Income TaxValidity of Tribunal’s order - Genuineness of gift – Gift of ₹ 1 lac received by minor daughter – Income of assessee and minor clubbed – Held that:- The Tribunal has not specifically referred to Section 68 of the Act, but AO has specifically recorded that the addition of ₹ 1 lac was being made as the assessee had not been able to prove and establish the source of the income/deposit of the minor Aushi Aggarwal - it is not necessary for the Revenue to show and prove how the assessee in this case through a conduit had transferred and brought into books of account, undisclosed income u/s 68 - this section casts a burden on the assessee to show genuineness of the transaction by establishing identity of the person from whom the payment was received, the source of payment, which necessarily need not be confined only to the details of the bank account from which payment was made but also corroborating and surrounding circumstances - income/cash credits which are not satisfactorily explained might be assessed as income - where any amount was found credited in the books of the assessed in the previous year and the assessed offered no explanation about the nature and source or the explanation offered was in the opinion of the AO not satisfactory, the sums so credited could be charged to taxed as income of the assessed for the relevant previous year - creditworthiness of the donor would depend upon the income and earning of the donor and whether and did he have necessary funds - Rarely one finds a poor man giving gifts to a rich and powerful, out of natural love and affection – The test of perversity is whether a reasonable person conversant with the legal provisions would have reached to the conclusion or finding under challenge - the reasoning and the finding of the tribunal is plausible, thus, the order of the Tribunal is upheld – Decided against assessee.
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