TMI Blog2006 (9) TMI 365X X X X Extracts X X X X X X X X Extracts X X X X ..... f Rs. 2,70,000 under the head Income from salary , as the same was pertaining to the assessment year 1999-2000 and was also assessed in the assessment year by the Assessing Officer." 4. Briefly stated facts are that assessee derives income from salary, business income and income from other sources. The Assessing Officer noticed that as per salary- cum -TDS certificate filed along with the return, the assessee had received salary of Rs. 9,30,000 on 31-3-2000. The entire salary had been credited to the salary account of the assessee on 31-3-2000 as standing in the books of M/s. NTF (India) Ltd., the employer of the assessee. The assessee was required to explain as to why the entire salary receipts of Rs. 9,30,000 be not charged to tax in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... credit of this TDS in assessment year 1999-2000 under the head "TDS" was against the norms as laid down in the Income-tax Act with regard to the tax deduction at source and payment thereof to the Government account. Therefore, he rejected the claim of the assessee that salary reflected in Form 16 for assessment year 2000-01 was included the arrear for assessment year 1999-2000. Accordingly, the entire salary receipt of Rs. 9,30,000 was taxed in the assessment year 2000-01. 5. On appeal the Ld. CIT(A) has held as under : "I have considered the grounds on which the Assessing Officer has taxed the entire salary in the year under consideration vis-a-vis the grounds taken by the ld. counsel for the appellant as also the case laws relied ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Assessing Officer s action is fully justified and is hereby confirmed." 6. We have heard the parties and perused the record of the case. Section 15 of the Income-tax Act read as under : "The following income shall be chargeable to income-tax under the head Salaries ( a )any salary due from an employer or a former employer to an assessee in the previous year, whether paid or not; ( b )any salary paid or allowed to him in the previous year by or on behalf of an employer or a former employer though not due or before it became due to him; ( c )any arrears of salary paid or allowed to him in the previous year by or on behalf of an employer or a former employer, if not charged to income-tax for any earlier previous year. E ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Shri Naveen Jain, the assessee was appointed as Executive Director as per minutes of meeting dated 10-6-1998 of the Board of Director of the NTF (India) Pvt. Ltd. for a period of five years from 1-7-1998 with a salary of Rs. 30,000 per month. However, as per Form 16 under section 203 of the Act the assessee had received salary of Rs. 6,60,000 for assessment year 2000-01 and also received arrear of Rs. 2,70,000 as arrear of salary during this year. Assessee has received the salary year ending on 31-3-1999 and 31-3-2000 both during the year under consideration and the return of income for financial year ending on 31-3-1999 has been filed after taking into account the accrued salary from M/s. NTF (India) and for which the assessment has duly ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h regard to the expenses claimed were furnished. Hence the Assessing Officer held that consultancy receipt declared could not be relied upon. Accordingly, he estimated the net income from consultancy at Rs. 40,000. The Ld. CIT(A) on appeal has confirmed the order of the Assessing Officer. 9 . We after having heard the parties are of the view that the Assessing Officer has made impugned on the basis of surmise and conjecture as there is no basis to estimate the net consultancy fee of the assessee at Rs. 40,000 we therefore direct to delete the impugned addition. ITA No. 5490/Del./2003 10. The sole ground of appeal states : "The Ld. CIT(A) erred in upholding addition of Rs. 3,46,500 under the head income from salary , as the sam ..... X X X X Extracts X X X X X X X X Extracts X X X X
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