Court : Chennai
Decided on : Feb-06-1973
Reported in : [1973]91ITR492(Mad)
..... of the family assets on 13th april, 1956, and, therefore, sought recognition of that partition by filing an application under section 25a of the act. it was the assessee's case that under the said partition the rubber estate called iyer merah estate has been given to ..... specifically found against the truth and genuineness of that partition. it is not as if the income-tax officer rejected the application under section 25a on the ground that there was only a partial partition and not a complete partition, and, as such, an application for recognition ..... the karta dated 7th january, 1958, attested by the commissioner of oaths, malaya. the income-tax officer made the requisite enquiry under section 25a and found that except the entries in the account books of the assesses and the affidavit above referred to, there was no ..... ramanujam, j. 1. this is a reference under section 66(2) of the indian income-tax act, 1922, and the following question has been referred :' whether, on the facts and in the .....
Tag this Judgment!Court : Chennai
Decided on : Mar-27-1973
Reported in : [1974]97ITR161(Mad)
..... any concealment of income which had taken place before the income-tax act, 1961, came into force, the provisions of section 271 of that act cannot be invoked, and (2) that the materials available cannot justify the levy of penalty as the finding of deliberate concealment of income cannot ..... business, the materials available conclusively established that there was deliberate concealment of income. in that view, he levied a penalty of r's. 36,000 under section 271(1)(c) of the income-tax act, 1961.9. this penalty order was challenged by the assessee in an appeal before the appellate tribunal on two grounds: (1) that in respect of ..... , is as follows:'whether, on the facts and in the circumstances of the case, the levy of penalty under section 271(1)(c) of the income-tax act, 1961, was valid in law ?'2. the assessee carried on business in coffee, biscuits, etc. in the previous year ending with august 15, 1952, relevant for the .....
Tag this Judgment!Court : Chennai
Decided on : Jul-10-1973
Reported in : [1974]97ITR472(Mad)
..... cultivable land. it is true that during the year of assessment, the cultivation of elephant grass was restricted to 8.04 acres but, for the application of section 10 of the act as it stood during the assessment year, the extent actually cultivated may not be material but the extent of the agricultural lands held by the assessee will be ..... years the assessee has cultivated elephant grass in more than 121/2 standard acres. therefore, the assessee has held lands more than the exempted limit referred to in section 10 of the act during the assessment year. the fact that the assessee chose to cultivate only in a portion of the agricultural lands held by it will not make it any ..... that the fact that the assessee has cultivated only 8.04 acres of land during the assessment year will not bring it within the exempted limit provided under section 10 of the act as it then stood.5. the next contention advanced by the learned counsel is that 8.04 acres of land having been used for raising grass as fodder .....
Tag this Judgment!Court : Chennai
Decided on : Apr-19-1973
Reported in : [1975]101ITR832(Mad)
..... from various mills and that, as such, the transactions in question cannot be considered to be speculative in view of sub-clause (a) to the third proviso to section 24(1) of the act. the assessee's claim for deduction of the two sums as business losses in the respective years was, therefore, allowed by the tribunal. aggrieved against the said ..... of rs. 17,000 in the assessment year 1961-62 were saved from being treated as speculative transactions by clause (a) of the third proviso to section 24(1) of the indian income-tax act, 1922?'2. the assessee in this case is a registered firm, carrying on business in cloth and yarn, and having its head office in madurat and ..... revenue has sought this reference.4. the question referred relates to the scope and ambit of sub-clause (a) to the third proviso to section 24(1) of the indian income-tax act, 1922 (hereinafter referred to as 'the act '). the said provision so far as it is relevant is set out below:'24. (1) where any assessee sustains a loss of .....
Tag this Judgment!Court : Chennai
Decided on : Mar-20-1973
Reported in : [1974]96ITR557(Mad)
..... had pointed out, ' if that is established then the deduction must be allowed provided of course there is no prohibition against it express or implied in the act'. section 73, as already pointed out, prohibits the setting off of any loss incurred in speculation business except against profits and gains, if any, of another speculation business ..... . no. 130/67, r. chinnaswami chettiar v. commissioner of income-tax : [1974]96itr353(mad) that it would amount to a speculation business. section 73 of the act says that the losses in speculation business shall not be set off except against profits and gains of another speculation business. the learned counsel for the assessee ..... paid by the assessee-firm to kothari mills and ramalinga choodambikai mills ltd. is an admissible expense or did it constitute loss in speculation '4. section 43(5) of the act defines a ' speculative transaction ' as meaning a transaction in which a contract for the purchase or sale of any commodity including stocks and shares .....
Tag this Judgment!Court : Chennai
Decided on : May-04-1973
Reported in : [1973]92ITR529(Mad)
..... less a dsbt if the liability is certain and what remains is only a quantification of the amount. in short, a debt owed within the meaning of section 2(m) of the wealth-tax act can be defined as a liability to pay in praesenti or in futuro an ascertainable sum of money.'9. in the present case, the company was liable ..... in the trust deed. the trustees are obliged to invest all monies which are not immediately required for any of the purposes of the scheme in accordance with section 20 of the indian trusts act. the interest or other income accrued or earned from the said funds or any investments thereof shall form part of the fund. in respect of the liability ..... account the sum of rs. 19,11,620. at the instance of the commissioner of wealth-tax, identical questions have been referred to us under section 27(1) of the wealth-tax act, 1957 (hereinafter called 'the act'). the question reads as follows:'whether, on the facts and in the circumstances of the case, the sum of rs. 19,11,620 on account .....
Tag this Judgment!Court : Chennai
Decided on : Mar-20-1973
Reported in : [1974]96ITR353(Mad)
..... contended on behalf of the assessee that the two forward contracts are only isolated transactions, which do not constitute ' business '. that apart, according to section 2(42) of the act, 'business' includes any trade, commerce or manufacture or any adventure or concern in the nature of trade, commerce or manufacture. the supreme court ..... high court held : ' ......part of the contract was not performed. the contract wasalso not dispensed with or remitted within the meaning of section 63 of theindian contract act. from the facts hereinbefore mentioned, it appearsthat the assessee proceeded on the footing of a breach of contract bythe purchasing japanese company, namely, ..... were, therefore, damages for breaches of contract and the damages were measured and settled on the difference of prices. the word ' settled ' in section 43(5) of the act means, according to the learned counsel, ' settled before breach '. the learned counsel also submitted that under the settlement there was a purchase and .....
Tag this Judgment!Court : Chennai
Decided on : Apr-19-1973
Reported in : [1973]92ITR145(Mad)
..... . 6 lakhs by the board is not justified. it is stated that the managing agency rights have come to an end by august 15, 1960, by virtue of section 324 of the companies act of 1956 and, therefore, it has to be valued or the basis that at the duration of managing agency is only for about three years. it is said ..... inland revenue commissioners v. clay,in support of the the said view. in that case the property was valued for the purpose of increment value duty tinder section 25 of the english finance act of 1910 which provided that the gross value of the property shall be the amount if sold at the time in the open market by a willing seller ..... stock exchange on the relevant date, and that the valuation of the share at rs. 110 by the board is quite arbitrary and contrary to the provisions in section 36 of the estate duty act. 8. we can straightaway reject the contention that the 500 shares held by the deceased should be valued at the price which they actually fetched in the .....
Tag this Judgment!Court : Chennai
Decided on : Sep-07-1973
Reported in : AIR1974Mad220
..... the sufficiency of the reason for extending the period of limitation) until notice has been given to the respondent and his objections, if any, to the court acting under the provisions of section 5 of act ix of 1908 have been heard. t. c. raghavan, j., says that, if the court does not dismiss the appeal under order xli, rule 11, ..... ground for excusing the delay, it cannot deal with the appeal in any manner till after notice has been given to the respondent of the application under section 5 of the limitation act and his objections thereon have been heard. on such reasoning raghavan, j., has held that the court has no power to issue any interlocutory order till ..... the petition under section 5 of the limitation act is allowed. he has sought support for this view from the decision of madhavan nair, j., in bayya reddi v. gopalarao, air 1934 mad 303. in .....
Tag this Judgment!Court : Chennai
Decided on : Feb-09-1973
Reported in : [1974]97ITR431(Mad)
..... the explanation of the assessee regarding those entries to be false and assessed the amount as income from undisclosed sources. he also initiated penalty proceedings under section 28(1)(c) of the indian income-tax act, 1922, and imposed a penalty. the question was whether the penalty order could be sustained. the tribunal had held that there is no evidence ..... in t.c. no. 115 of 1967.'whether, on the facts and circumstances of the case, the levy of penalty of rs. 40,000 under section 271(1)(c) of the income-tax act, 1961, on the assessee-firm for the assessment year 1961-62 is valid in law '8. so far as the addition of a sum of rs ..... s income for the assessment year 1961-62 was supported by material?'7. after making the addition as aforesaid, the income-tax officer initiated proceedings under section 271(1)(c) of the income-tax act, 1961, and a penalty of rs. 40,000 was levied by the concerned inspecting assistant commissioner, after holding that the assessee has deliberately concealed income, .....
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