9911796707
TMI Blog2001 (1) TMI 58X X X X Extracts X X X X X X X X Extracts X X X X ..... e income under the head 'Capital gains' the assessee was entitled to claim the previous year ending December 25, 1975, under the provisions of section 3(1)(c) ?" The factual position in a nutshell is as follows : The assessee was a partner in the firm, Jaipur Golden Transport Carriers, and also derived income from salaries, interest and dividend. For the assessment year 1976-77, the last date of the previous year for different sources of income as declared by the assessee was March 31, 1976. The assessee made a disclosure under the Voluntary Disclosure of Income and Wealth Ordinance, 1975. Disclosure was made in respect of a sum of Rs. 50,010 claimed to be representing the value of jewellery weighing 4,537 gms. Out of the said quantity of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sources or even to have a separate part of the book confined to income from that source. Since the assessee had maintained separate books for the purpose of sale of jewellery and these books were closed on December 25, 1975, his claim was in order. The Appellate Assistant Commissioner did not accept this stand and observed that the case would fall under section 3(1)(c) of the Act. The matter was carried in appeal before the Tribunal. With reference to section 3(1)(b) of the Act, the Tribunal held that the language of the said provision was clear and it entitles the assessee, at his option, to make up the accounts up to a date within the financial year immediately preceding the assessment year. Since the assessee had maintained separate acc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s not falling within clause (a) or clause (b), such period as may be determined by the Board or by any authority authorised by the Board in this behalf ; or" Under section 3(1)(b) the assessee has been given an option to have a previous year different from the financial year as provided in section 3(1)(a). Such option can be exercised under the following conditions : (a) if the assessee has made up his accounts ; (b) such accounts have been made up to a date within the financial year immediately preceding the assessment year ; and (c) the accounting year is a period of twelve months. So far as capital gains are concerned, as evident from section 45, the same is deemed to be income of the previous year in which the transfer took place. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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