9911796707
TMI Blog1989 (2) TMI 65X X X X Extracts X X X X X X X X Extracts X X X X ..... having share income from a firm, income from property and interest on securities, etc. In respect of the assessment year 1971-72, the assessee filed a return declaring a total income of Rs. 33,423. In completing the assessment, the Income-tax Officer included a sum of Rs. 1,00,000 in the total income of the assessee. The amount so included represented a cash credit and the assessee claimed that that amount related to the encashment of a raffle ticket which secured the first prize in the draw held on September 25, 1970. Apart from some discrepancies found by the Income-tax Officer in that regard, he also came to know that the prize winning raffle ticket actually belonged to one Shankar, who was a worker in a hotel. Thereupon, the Income-tax ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ier has come up before this court. We may briefly refer to the several steps taken by the Department to ascertain whether the assessee had purchased the ticket which eventually won the prize. In the course of his examination under section 131 of the Act, the assessee stated that he bought nine tickets of the raffle and when he won the prize, he came to know about it through a vernacular newspaper, but did not intimate the same to the Director of Raffles or communicate it to any other authority and that the ticket along with certain forms duly filled up were handed over to Canara Bank for collection. Further enquiries made by the Department on the statement so made by the assessee disclosed that the prize winning ticket was sold by S. Santh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Income-tax Officer concluded that the assessee did not purchase the prize winning ticket, but it must have been secured by him after the draw was held and the results were announced and he, therefore, added the amount of the prize as the income of the assessee from undisclosed sources. Even in the appeal before the Tribunal, copies of the depositions were made available to the assessee and even after numerous opportunities, the assessee did not place any materials to justify the deletion of the amount included and finally the Tribunal also confirmed the assessment. On initiation of proceedings for the levy of penalty, the assessee took the plea that the assessee had established that the credit represented realisation of the prize of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee purchased the ticket prior to its winning the prize. Though it was faintly contended that there was nothing to show that the assessee got the ticket from Shankar on payment of Rs. 1,00,000 we are not prepared, on the materials available in this case, to so hold, as the evidence available clearly leads to the conclusion that the assessee had purchased the ticket after the prize was won by that ticket and the further inference is that no prize winning ticket should have been parted with for any amount other than the prize amount at least. It may be, as pointed out by the Tribunal, that the assessee might have even paid a larger amount taking into account the advantages that may be secured by him by adopting such a course with referen ..... X X X X Extracts X X X X X X X X Extracts X X X X
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