1991 (8) TMI 59

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....y was purchased for Rs. 45,000 in the name of Jasumatiben, on February 22, 1960. In his books of account maintained for the purpose of his business, the assessee showed the property as an asset. In the balance-sheets copies whereof were given by the assessee in the course of the income-tax assessment proceedings, the property was shown as an asset under the head "Building Account" up to assessment year 1963-64. However, from the year of account relevant to the assessment year 1964-65, the account was styled "Jasumati Ramanlal Building Account". Income derived from the property was disclosed by the assessee in his returns of income for the assessment years up to the assessment year 1967-68. For the assessment years 1968-69 up to 1971-72, the....

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....he assessee for the assessment years under reference. Being aggrieved by the order of the Appellate Assistant Commissioner, the Revenue went up in appeal. The Income-tax Appellate Tribunal ("the Tribunal" for short), on appreciation of the evidence on record and the past conduct of the assessee showing the income derived from the property as his own income, held that the property belonged to the assessee and that the Income-tax Officer was, therefore, right in including the income derived from the property in the assessee's total income. It is in the background of the above facts that the Tribunal has referred to us for our opinion, the following question under section 256 (1 ) of the Act: "Whether, on the facts and in the circumstances ....

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....sessee. The assessee has stated that he had intended to give a gift of this Rs. 45,000 to his wife, but he did not do so. It is the assessee's case that his wife treated the amount of Rs. 45,000 given by the assessee for the purchase of the property as the loan advanced by him and the assessee credited, in the account styled "Jasumati Ramanlal Account" or "Jasumati Ramanlal Building Account", the amounts alleged to have been paid by his wife. It is submitted that, except for one year, this account has been accepted as genuine. Now the assessee is the best person to know whether he had purchased the property or his wife. If the property was purchased by the wife, the assessee would never have treated it as his asset and disclosed the income ....