9911796707
TMI Blog1969 (2) TMI 12X X X X Extracts X X X X X X X X Extracts X X X X ..... iously from her husband, Halash Chand Rampuria. She bequeathed by this will Rs. 1,00,000 to her daughter, Rs. 1,00,000 made up of various sums to charities and the balance of Rs. 3,00,000 was bequeathed to her son, Kamal Singh Rampuria. This sum of Rs. 3,00,000 was invested by the assessee in the firm of M/s. Hazarimal Hiralal and earned interest. Besides, the assessee's mother bequeathed to the assessee 1/6th share held by her in M/s. Bikaner Trading Company. The assessee, a minor, was admitted to the benefits of the partnership in respect of the said share. In the several returns made during his minority by his father, Halash Chand Rampuria, the income from the firm was shown in the son's account till the year 1944-45. The interest paymen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... x Officer was wrong in starting proceedings under section 34. It was contended that the Income-tax Officer knew that the income belonged to the assessee but had chosen nevertheless to assess it in the hands of the father and having done so it was not open to him after the decision of the High Court to initiate proceedings under section 34. The Tribunal rejected the argument of the assessee and held that the assessee had not discharged his duty of returning his income at the proper time, and so, the provisions of section 34(1)(a) of the Act applied. At the instance of the assessee the Appellate Tribunal referred the following question of law to the High Court under section 66(1) of the Act : "Whether, on tile facts and in the circumstances ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... me being included in the hands of the father on February 28, 1950. No doubt, at the inception, the Income-tax Officer had put the assessee's guardian on the wrong end by taxing incorrectly interest income in his hands. So, to an extent, the assessee was justified in not returning this income, but in so far as the father had not chosen to take the assessment made on him but was contesting it by taking proceedings under section 66(1), he hoped that the assessment made on him would be cancelled. At any rate, when the reference application was made to the High Court then at least a duty lay upon him as guardian of the minor to return the income from Hazarimal Hiralal in the return of the assessee. Not having done so, he must be said to have del ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ibunal and answer the question of law in the setting and context of those facts. It is true that the finding of fact will be defective in law if there is no evidence to support it or if the finding is unreasonable or perverse. But in the hearing of a reference under section 66 of the Act it is not open to the assessee to challenge such a finding of fact unless be has applied for a reference of the specific question under section 66(1). In India Cements Ltd. v. Commissioner of Income-tax, it was pointed out by this court that in a reference the High Court must accept the findings of facts reached by the Appellate Tribunal and it is for the party who applied for a reference to challenge those findings of fact, first, by an application under s ..... X X X X Extracts X X X X X X X X Extracts X X X X
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