TMI Blog1979 (11) TMI 119X X X X Extracts X X X X X X X X Extracts X X X X ..... that the income of Rs. 13,047 had escaped assessment for the asst. yr. 1971-72. The figure of Rs. 13,047 was arrived at by estimating 20 per cent of the gross receipts of Rs. 65,238 as the suppressed professional receipts. A notice under s. 148 was issued to the assessee. The assessee again filed a return of income on 2nd March, 1976 declaring the net loss of Rs. 7,872. During the search it appeared that there were 86 cases of outdoor patients during the period from 17th Feb., 1971 to March, 1971. The fees were however, received in respect of only 60 cases. The case of the assessee was that he charged the fees of Rs. 15 per case except in certain cases where a patient might be a college-mate of the assessee or a close friend of the assessee or recommended by doctors for not charging fees. The search party also examined the history sheets in respect of 74 patients admitted to X Nursing Home as the patients of the assessee. The receipts of fees were accounted for in respect of 44 out of these 74 patients. Out of the remaining 30 patients 5 patients were said to have been wrongly recorded although they were in fact admitted not to X Nursing Home but operations were performed because t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee that the book results could not have been rejected by the ITO. No material was placed before us on behalf of the assessee which would show that the book results could not have been rejected by the ITO. In our view, the ITO was justified in rejecting the book results for reasons given in his assessment order. The ACC on merits took the view that the receipts from outdoor patients would hardly amount to 1 to 2 per cent of the total receipts of the assesses. Admittedly, the assessee is basically a surgeon. Only in some of the cases where it would be possible to cure the patients by medicines the surgery was avoided. The ACC was satisfied that the assessee had sufficiently proved that the cases in which he did not show the receipts were the cases in which he had not in fact charged, The ACC found that the assessee paid electricity bills of Rs. 482, Rs. 540, Rs. 515, Rs. 1,115 and Rs. 1,005 for the asst. yr. 1971-72, 1972-73, 1973-74, 1974-75 and 1975-76 respectively. The ACC observed that the ITO did not bring anything on record which would suggest that the assessee was spending heavily either on the education of his children or otherwise. It was further observed that extra-ordinary ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ount was deposited on 23rd November,1971. The father of the assessee expired on 31st Jan., 1972. The case of the assessee was that it was only when his father was admitted in his hospital in January, 1972 the assessee came to know about this deposit and soon thereafter his father died of heart attach. The ITO surmised that the father of the assessee closed the money lending business in 1968. In the view of the ITO if the father of the assessee had the cash of Rs. 20,000 the assessee would not have obtained the loans from outsiders. Shri V.C.P., a partner in the firm of M/S.D.N.S. supported the case of the assessee that the amount of Rs. 20,000 was given to the assessee in hard cash by the father of the assessee at the hospital of the assessee. The ITO treated the sum of Rs. 20,000 as the income of the assessee from the undisclosed source. The interest on this deposit was found credited in the name of the mother of the assessee in the books of the assessee. 9. The ACC observed that the ITO examined the two partners Shri A.S. and V.C.P. The father of the assessee had 2 brothers. The assessee had two brothers Shri I and Shri A. Considering the family background and its records of s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . 12. For the asst. yr. 1973-74 the first ground of appeal is that the AAC erred in reducing the addition made by the ITO on account of suppressed professional receipts linked with low withdrawals for household expenses from Rs. 12,000 to Rs. 10,000. The only other ground of appeal is that the AAC erred in deleting the addition made by the ITO on account of interest on fixed deposits in the name of the father of the assessee. The assessee drew Rs. 13,000 for household expenses during the year. For reasons stated while dismissing the appeal being I.T.A. No. 247/AHD/78-79 we confirm the order of the AAC reducing the addition to Rs. 1,000. As regards the deletion of the addition made by the ITO on account of interest on fixed deposit in the name of father of the assessee as we have held that the sum of Rs. 20,000 did not belong to the assessee the deletion made by the AAC was justified. In the result, the appeal being ITA. No. 249/AHD/78-79 fails and is dismissed. 13. The two grounds raised in ITA. No. 250/AHD/78-79 for the asst. yr. 1974-75 are similar to the grounds raised in ITA. No. 249/AHD/78-79. The assessee drew Rs.15,000 on account of household expenses for the asst. yr. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 970 was Rs. 5,000. The AAC rejected the contention of the assessee that the provision of s. 69A could not be invoked on the facts of this case. The AAC took into consideration the community to which the assessee actually belongs and the custom and practice prevailing in that community and also took into consideration the fact that the sister of the assessee's wife also got about 70 tolas to 80 tolas of gold at the time of her marriage. The AAC also took into consideration the 3 affidavits one from the brother of the assessee's wife an two from the other two relations. The AAC observed that the brother of the assessee's wife was examined by the ITO after he made the affidavit and it transpired that although the father-in-law of the assessee was in financial difficulties in 1952 onwards he had sufficient gold balance to give at the time of the marriage of his daughter. The AAC accepted the statement of the assessee in regard to the extent of gold he received at the time of her marriage. The AAC observed that the very fact that the bills of remaking were produced clearly showed that the old gold ornaments were redone. The AAC was satisfied that the gold and jewellery were insured for ..... X X X X Extracts X X X X X X X X Extracts X X X X
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