TMI Blog1976 (10) TMI 14X X X X Extracts X X X X X X X X Extracts X X X X ..... Borajannah was an assessee who was being assessed as an individual. He died on May 5, 1949, leaving his two sons, T. B. Raju and T. B. Hanumantha Raj, and also his widow, Putta Thayammal. What was left by the deceased consisted of immovable property and business, which devolved upon the Hindu undivided family constituted by the sons and others. There was a total partition of this family on November 30, 1950. The present reference relates to the assessment year 1951-52 for which the relevant accounting periods were : (a) the year ended November 30, 1950, so far as the immovable property was concerned, and (b) the year ended December 31, 1950, for the income from the business. For the assessment year 1951-52, the assessee filed a voluntar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed to the Appellate Assistant Commissioner disputing the assessment on the ground of limitation and also contesting that the addition of the cash credit of Rs. 10,000 had been made without providing the assessee with a sufficient opportunity to prove the nature thereof. The Appellate Assistant Commissioner called for a report from the Income-tax officer, directing him to give the assessee an opportunity to prove the nature and source of the credit. But the assessee's representatives admitted before the Income-tax Officer that in spite of best efforts they were unable to place any evidence on the matter. The Appellate Assistant Commissioner, therefore, confirmed the assessment holding that this was a case to which the provisions of section 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lanation was forthcoming. The assessee had been introducing income from undisclosed source from year to year in the shape of cash credits and a sum of Rs. 12,000 was assessed in similar circumstances for the assessment year 1950-51. The actual source from which the cash deposits came is within the assessee's special knowledge. When he chooses not to furnish any explanation in respect of the cash deposits, the revenue authorities are justified in holding that the correct source is such as would, if disclosed, have rendered items liable to tax. In these circumstances, the finding of the revenue authorities that the assessee has concealed his income both in regard to the share of profit from Messrs. A. Anandaraya Mudaliar Co. and from the un ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... estion of his having any deliberate intention to exclude the share income from the return. Assuming for a moment that he is right in this submission, at any rate as far as the sum of Rs. 10,000 is concerned the assessee had absolutely no explanation. The Tribunal has pointed out that year after year there were cash credits which were being assessed as income from undisclosed sources. With reference to the assessment year in question, the assessee himself had made a complaint before the Appellate Assistant Commissioner that he had not been given an opportunity to prove the nature and source of the cash credits. When the opportunity was given to the assessee subsequently, he did not place any materials before the Income-tax Officer to explain ..... X X X X Extracts X X X X X X X X Extracts X X X X
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