TMI Blog1956 (8) TMI 69X X X X Extracts X X X X X X X X Extracts X X X X ..... sisted of his two minor sons with their mother Radharukmani Ammal as their guardian. The account year ended only on 13th April, 1944, that is, after the death of Subbarayulu Chettiar. For the assessment year 1944-45 notice under section 22(2) of the Act was issued to the assessee, at that stage represented by Radharukmani Ammal as the guardian of the minor coparceners. It was she who submitted the return on behalf of the assessee on 11th December, 1944. That return was based on the accounts maintained during most of the year of account by Subbarayulu Chettiar. That return was accepted as substantially correct, and the assessment was completed on 31st December, 1944. Subsequently the Income-tax Officer came to know that some of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ta. The Hindu undivided family is a continuing unit and whoever was the karta, it is the family that earns and enjoys the income. The disappearance of one karta and the emergence of another makes in our opinion no difference to the continuity of the family. Therefore the proceedings, in our opinion, were validly taken. With reference to the specific charge of concealment within the meaning of section 28(1)(c) of the Act, the Tribunal recorded: ..Thus there was on one hand purchases which were proved to be fictitious and on the other unexplained sum of money which can only be regarded as income since there was no other source for the assessee to come in possession of that sum of money. Thus, we are convinced that t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t instance, found no fault with them, has considerable force. It cannot also be said that by filing a return on the basis of the accounts which she honestly believed to be the correct and true accounts maintained by her husband she committed any act of concealment. With reference to the omissions in the accounts maintained by Subbarayalu Chettiar the Appellate Assistant Commissioner observed: If a karta commits an act of concealment in regard to the income of the family, the family is liable to pay the penalty for it as the income under the assessment is not his personal or individual income but the income of the family and the benefit of the concealment was enjoyed by the family. In this case there is ample evidence t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the income of the assessee. She was not conscious of any concealment, was virtually the specific finding. The further finding was that Subbarayulu Chettiar was guilty of concealment of portions of his income. What, however, the Departmental Authorities and the Tribunal apparently overlooked was that it is not any concealment that is enough to bring it within the scope of section 28(1)(c). It must be a conscious concealment and a concealment from the assessing authorities. Was Subbarayulu Chettiar guilty of such a concealment is the question. No doubt there were fictitious entries in the account books he maintained. It is equally true there were omissions in his books of account of the sums lodged by him with a bank. But at that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... income or deliberately furnish inaccurate particulars thereof. Notwithstanding the absence of the qualifying word 'deliberately' in the first alternative referring to concealment, undoubtedly the concealment also has to be conscious and so a deliberate act, which is involved is the very expression 'concealed'. That concealment is from the Income-tax Officer, and in the context of this case can only be in the return furnished. Therefore, if the Hindu undivided family, the assessee, is to be charged with concealment, that can be established only, if the person, who submits the return on behalf of that assessee, the Hindu undivided family, does so. In the present case the person, who did so, was Radharukmani Ammal, and on the f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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