TMI Blog2012 (8) TMI 511X X X X Extracts X X X X X X X X Extracts X X X X ..... d of income is attributable from the facts of the case, the same should be taxed under the head ‘income from other sources’. As the quantum of addition sustained by the CIT(A) that some modification is called for as the agricultural income offered by the assessee for the subsequent assessment year was Rs. 13.5 lakhs accordingly, the addition of Rs. 4 lakhs made by the Commissioner of Income-tax(Appeals) is reduced to an addition of Rs. 2 lakhs - partly in favour of assessee. - I.T.A. No. 1348/Mds/2011 - - - Dated:- 26-6-2012 - Dr. O.K. NARAYANAN, AND SHRI SATBEER SINGH GODARA, JJ. Appellant by : Shri R.K.V.Sundar, Advocate Respondent by : Shri K.E.B. Rengarajan, Junior Standing Counsel O R D E R PER Dr. O.K.NARAYANAN ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowed from the agricultural income, the same amount cannot be treated as income from other sources. 6. The alternate contention of the assessee is not acceptable in law. The case of the assessee is that a portion of the agricultural income disallowed by the assessing authority should be ignored thereafter and such disallowance should not be treated as taxable income under the head income from other sources . It is the case of the assessee that wherever agricultural income is disallowed and not accepted by the Department, the matter ends there and that portion of the agricultural income not accepted by the Department should not be treated as non agricultural income for the purpose of taxation. 7. The first reason by which we cannot acce ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . That factum is accepted by the Department. Now, whether the entire income is treated as agricultural or not, that does not go to black out the fact that the assessee has earned Rs.15 lakhs. Therefore, when the Commissioner of Incometax( Appeals) has accepted agricultural income only to the extent of Rs. 11 lakhs, the balance of Rs. 4 lakhs has to be still accounted by the assessing authority, which can be accounted in the assessment only by treating that amount as taxable income under any head of income. The Assessing Officer has to treat that amount of Rs. 4 lakhs as non-agricultural income and the same has to be brought to tax. The proper head is income from other sources . 9. Therefore, it is to be seen that the disallowed portion o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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