1971 (7) TMI 37

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ugust, 1967, and in December, 1967. According to the rules pertaining to the two schemes, each member was required to pay a sum of Rs. 100 towards each scheme per month to the company for a period of sixty months. At the end of each month, from the starting of the lucky schemes, a draw was made and the person whose luck favoured as a result of the draw was to be paid Rs. 6,000, and was further entitled to stop contributing his one hundred rupees in future. But, all the members, excepting those in whose favour the draws had gone, were to get back Rs, 6,000 each at the end of sixty months with Rs. 500 in addition as interest. The assessee had contributed only Rs. 400 in the first lot when the draw was declared in his favour in August, 1967, a....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ny difference between the two schemes out of which the appellant got the money and lotteries which are being encouraged by all the States in the country as well as Five Year Interest Free Prize Bond (1965) Scheme of the Government of India. It cannot be taken as the appellant's income merely because the appellant has received an amount over and above his contribution as all amounts received are not necessarily income. The income-tax authorities in their zeal to assess income and collect taxes should not lose sight of the basic principle of jurisprudence that it is the income and income alone which is taxable and all receipts may not be necessarily income. In order that a receipt is assessed as an income that receipt must be income. The lear....