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TMI Blog1984 (4) TMI 140X X X X Extracts X X X X X X X X Extracts X X X X ..... ons in the deposit accounts with the assessee firm was not includible under s. 64 of the IT Act. The departmental representative argued that it was includible and he relied upon the following case laws: (i) S. Srinivasan vs. CIT (1967) 63 ITR 273 ((SC)) (ii) S. Srinivasan by L.Rs. Shanbagammal Ors. vs. CIT (1976) 105 ITR 315 (Mad) (iii) Smt. Nripendra Kumari Bhandari vs. CIT (1976) 105 ITR 158 (Mad) 4. The A.R. relied upon the following case laws: (i) CIT vs. S.V. Nashte (1979) 12 CTR (Bom) 231 : (1979) 119 ITR 130 (Bom) (ii) Chandanmal Kistur Chand (1978) 112 ITR 296 (Bom) (iii) Decision of the ITAT, Ahmedabad Bench-B in ITA No. 2282 of 1980 dt. 16th Dec., 1981. 5. We have given our due consideration of the case and the d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 130 (Bom) that for s. 64 to apply there must be a nexus direct or indirect between the income which accrues to the minor and his admission to the benefits of the partnership. Interest received on loans advanced by a minor out of his own funds to a partnership firm to the benefits of which he is admitted cannot be said to be the income arising directly or indirectly from the admission of the minor to the benefits of the partnership. Thus their Lordships of the Bombay High Court held that interest so credited in the deposit accounts of the minor was not liable to be included in the income of the assessee. 6. The Ahmedabad Bench of the ITAT in the decision quoted above have clearly held as under: "The main principal which emerges from the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d deduction against salary income was already allowed. The departmental representative argued that the standard deduction would take care of the conveyance expenses of the assessee and there was no justification for giving further deduction of Rs. 3,600. The A.R. argued that this deduction was given out of commission income which has been assessed. It is strongly argued that the assessee had to move here and there every day for earning commission and hence he has to incur expenses. The standard deduction is meant to be deducted out of the income from salary and not out of income from commission which is a different source of income. 9. We have considered the arguments of both the sides. There is force in the contention of the A.R. that th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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