1979 (2) TMI 86

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..... 62, the relevant accounting period being 1367 B.S. During the material period the assessee had constructed two floors of a house at Howrah and he contended that the cost of such construction being Rs. 18,000 had been met out of his savings of earlier years. This was not accepted by the ITO, who estimated such cost at Rs. 45,000 and added the same to the income of the assessee as income from undisc .....

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..... e I.T. Act, 1961, had come into operation. The assessee had declared in his return an income of Rs. 7,059 which was ex facie less than 80% of the assessed income. Therefore, the IAC held that in view of the said Explanation the onus was on the assessee to prove that he did not conceal particulars of his income. The assessee not having produced any evidence to show what was the real cost of constru .....

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..... urt in Hajee K. Assainar v. CIT [1971] 81 ITR 423, the Tribunal held that the Explanation to s. 271(1)(c) of the I.T. Act, 1961, which was promulgated in 1964 did not apply to the relevant assessment year 1961-62. The Tribunal accordingly allowed the assessee's appeal and cancelled the order imposing penalty. On the application of the Commissioner of Income-tax, West Bengal III, Calcutta, under .....

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..... or the assessment year 1963-64, and the total income returned by the assessee was less than 80% of the total income on which he was finally assessed. In the penalty proceeding the IAC rejected the explanation of the assessee that the addition in the assessment was made merely on estimate and that the assessee did not conceal any income. He held that the assessee having failed to discharge the onus .....

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..... rt followed the earlier decisions of the Allahabad High Court in CIT v. Data Ram Satpal [1975] 99 ITR 507, CIT v. S. Devendra Singh [1977] 108 ITR 314 and Addl. CIT v. Jiwan Lal Shah [1977] 109 ITR 474. It appears to us, by reason of the aforesaid judgment of this court, that the controversy in this reference is concluded. Accordingly, we answer the question in the negative, in favour of the rev .....

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