TaxTMI 
TaxTMI 
1969 (2) TMI 49
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....The assessee claimed that the interest due on such fixed deposits was not brought into the taxable territories during the accounting year. The assessee expressed his inability to bring any evidence to show the movement of these fixed deposits from year to year. The Income-tax Officer, after giving opportunity to the assessee, was of the opinion that, in the circumstances, the assessee has failed to establish that the interest was left behind in the native State itself. He, therefore, treated the amount of interest due on the fixed deposits as having been brought into the taxable territories during the accounting year and included the amount of such interest amounting to Rs. 52,000 in the assessee's total income. There was an appeal before ....
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....ndian Income-tax Act, 1922. This court directed under section 66(2) to refer the following question to this court : " Whether, on the facts and in the circumstances of the case, there was evidence or material before the Tribunal for its conclusion that the interest received by the assessee in the Part B State had been brought into the taxable territories? " Mr. T. P. Das learned counsel for the assessee, contended before us that, in order to make this interest taxable, the revenue has to establish that it was brought into the taxable territories. According to him the evidence adduced by the revenue or the facts found by the Tribunal do not warrant such a conclusion. It is important to bear in mind that the assessee is a person who is resi....
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....r is received by a person must be regarded as income liable to tax. In all cases in which a receipt is sought to be taxed as income, the burden lies upon the department to prove that it is within the taxing provision. Where, however, a receipt is of the nature of income, the burden of proving that it is not taxable, because it falls within an exemption provided by the Act, lies upon the assessee. In the case of Commissioner of Income-tax v. Best & Co. Pvt. Ltd. the Supreme Court observed as follows: " We may point out, as some argument was advanced on the question of burden of proof, that this court did not lay down that the burden to establish that an income was taxable was on the revenue was immutable in the sense that it never shifted t....