9911796707
TMI Blog1982 (4) TMI 122X X X X Extracts X X X X X X X X Extracts X X X X ..... 31st March,1976 and with the said return she also annexe a note "Income for the period 1st April, 1975 to 31st Sept., 1975 of my minor sons Anup Kumar and Ajay Kumar, i.e. for half year, is shown in the return of income of Anup Kumar and Ajay Kumar." The ITO framed the said assessment under s. 143(3)with an observation that income of minors from 1st Oct., 1975 to 31st March, 1976 has been included in the income of the assessee. 3. Subsequently in the light of the following reasons, the ITO issued a notice under s. 148: The assessee had added back half share of profit of minors under s. 64(Sh. Anup Kumar and Ajay Kumar, minors) with the argument that Amendment Act comes into force w.e.f.1st Oct., 1975. Audit has pointed out that this a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fore us. The ld Deptl. Rep. Mr. M.P. Singh vehemently argued that it was not at the instance of the Audit but it was independent application of mind, as the mere reading of reasons extracted and placed above, would show. He also submitted, in the alternative, that the audit does not interpret law but it is interpretation of facts which constitutes information. 6. The ld. counsel for the assessee Mr. D.K. Gupta beside relying on the order of the AAC took us thoroughly through the assessee's paper book which comprised of page 1statement of income, page 2 assessment framed by the ITO originally under s. 143(3), page 3, photostat copy of notice under s. 148,page 4 reminder of the ITO to file return in response to s.148 and page 5 letter writ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... copy of which was placed by the ld. Deptl. Rep. before us, reads as under: "As per income-tax statement attached with the return, two minor sons of the assessee were also partners in the financial year 1975-76 relevant to asst. yr. 1976-77. Their whole share for the whole year from the said firm worked out to Rs. 21,140 and Rs. 20,115 respectively whereas only half of the said share was clubbed with the income of the assessee under s. 64 of the IT Act. Since it is nowhere laid down that half of the share income for asst. yr.1976-77 was to be clubbed with the income of the assessee, the balance amount of share income of the two minor sons, viz. Rs. 20,600(Rs. 10,563+Rs. 10,037) may also be added back to the taxable income of the assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X
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