1965 (10) TMI 2 - HC - Income Tax

Applicability of section 16(3)(a)(iii) - whether the income from the house property in Bunder Street, Madras, is taxable in the assessee s hands

Summary

The High Court of Madras ruled that the income of Rs. 2,044 from a house property in Bunder Street, Madras, is taxable in the assessee's hands. The court found that the transfer of Rs. 45,000 to the wife was a gift and not for adequate consideration, making it taxable income. The court rejected the assessee's contention that the income from the house property cannot be linked to the gift to the wife. The judgment was against the assessee with costs.