https://www.taxtmi.com/caselaws?id=168700 Income can be taxed in the hands of a non-resident only where there is evidence that profits or gains actually accrued or arose in the relevant year through a continuing business connection; mere disbelief of the taxpayer's documents is not enough. On the facts described, the earlier loan arrangement had been replaced, payments moved through a different branch and basis, and the evidential gap could not be filled by a presumption of continuity, so the liability finding was unsupported. A separate refund direction was also unsustainable while a fresh assessment and related proceedings remained outstanding, because the court could not bypass the statutory assessment machinery or compel repayment on that footing. en-us Fri, 17 Jul 1936 00:00:00 +0530 Mon, 23 Mar 2015 16:51:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=168700 Income can be taxed in the hands of a non-resident only where there is evidence that profits or gains actually accrued or arose in the relevant year through a continuing business connection; mere disbelief of the taxpayer's documents is not enough. On the facts described, the earlier loan arrangement had been replaced, payments moved through a different branch and basis, and the evidential gap could not be filled by a presumption of continuity, so the liability finding was unsupported. A separate refund direction was also unsustainable while a fresh assessment and related proceedings remained outstanding, because the court could not bypass the statutory assessment machinery or compel repayment on that footing. Case-Laws Income Tax Fri, 17 Jul 1936 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=168700