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TMI Blog2006 (5) TMI 121X X X X Extracts X X X X X X X X Extracts X X X X ..... this appeal. The learned counsel for the assessee fairly conceded that because of huge rush in his chamber for filing of the returns, some inadvertent delay occurred. Considering the fact that the assessee had taken considerable steps for filing the appeal in time, the delay of 9 days is condoned. 3. The relevant facts in this case are that the assessee is a teacher by profession. He had purchased an Allywin refrigerator on 26-10-2000 from a dealer namely M/s. G.D. Khanna Sons, Shimla and as per the scheme attached with the purchase of refrigerator, the assessee received a scratch card on the basis of which he was declared winner of one Matiz car. The said card was delivered to the assessee on 23-4-2001. The Assessing Officer had origin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ase of Mysore Sales International Ltd. v. CIT [1979] 117 ITR 64 in support of the contention that for a lottery ticket the purchase of lottery ticket is sine qua non. According to the learned counsel, the assessee had not purchased any lottery ticket, nor made any contribution for participation in the scheme. My attention was also invited to the dictionary meaning of 'lottery' as per Oxford Dictionary- as being way of raising money by selling numbered tickets and giving prizes to holders of numbers drawn at random. The learned counsel also invited my attention to the definition of 'gift' as indicated in the written submissions and submitted that all the ingredients of the gift are present in this case and, therefore, the Assessing Officer w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Income-tax Act, 1961. So however, in the Finance Act, 2001 an inclusive definition was provided by insertion of an Explanation below section 2(24)(ix) which reads as under:- "Explanation.- For the purposes of this sub-clause,- (i) 'lottery' includes winnings, from prizes awarded to any person by draw of lots or by chance or in any other manner whatsoever, under any scheme or arrangement by whatever name called;" 9. The assessment year involved in this case is 2002-03 and, therefore, the Explanation to section 2(24)(ix) is applicable and, therefore, in order to consider the taxability of the cost of Matiz car received by the assessee, the said Explanation shall have to be kept in mind. 'Lottery' is defined in the New Oxford Dictionary ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... obtaining their chance of a prize. Any form of contribution, whether money or any other valuable consideration, will suffice to render a lottery scheme prima facie unlawful. It is not, however, an essential characteristic of a lottery that prizes in a lottery should be paid for from participants' contributions, and a lottery will exist if participants pay to take part in a competition in which prizes have been donated by a third party." 12. In The Law Lexicon by P. Ramanatha Aiyar, "lottery" is defined "as a hazard in which sums are ventured for a chance of obtaining a greater value... A lottery is a species of gaming, which may be defined as a scheme for the distribution of prizes by chance among persons who have paid, or agreed to pay, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ) that any scheme for promotion of sale by which the participants purchase a product falls within the definition of "lottery" read with Explanation. By making the purchase of product, the assessee secures a chance to win a prize. I am, therefore, of the considered view that the decision of the Revenue Authorities to hold that the Matiz car received by the assessee on the basis of scratch card on purchase of refrigerator falls within the definition of 'lottery' under section 2(24)(ix) read with Explanation to the said section. The contention advanced on behalf of the assessee that the said car was received as a gift and not by way of lottery is accordingly rejected. 17. In the result, the appeal of the assessee is dismissed. - - TaxTMI ..... X X X X Extracts X X X X X X X X Extracts X X X X
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