1978 (3) TMI 86

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... dividend that was issued was dated August 8, 1967. The assessee did not maintain regular accounts. He, however, maintained a memorandum book in which he entered this dividend income on March 13, 1969. The assessee's accounting year for 1968-69 ended on March 28, 1968. It is thus evident that the declaration of dividend was made during the accounting year relevant to the assessment year 1968-69. The warrant was also issued within that year. The other item related to special remuneration received by the assessee as director of Messrs. J. K. Industries (Private) Ltd., Kanpur. The company, by a resolution dated September 19, 1967, sanctioned a special remuneration of Rs. 34, 726 to the assessee. This remuneration was actually paid to the ass....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....rcumstances. The two items clearly constituted the income of the assessee. They were not included in the return for the assessment year 1968-69, though they should have been, because the assessee had in fact filed the return for that year on accrual basis. It was, therefore, a clear case of concealment of income. He imposed the minimum leviable penalty on the sum of the income which was concealed, namely, Rs. 59,476. The assessee went up in appeal to the Tribunal, but failed. The Tribunal held that it was established that the assessee had been filing his returns on accrual basis and not on cash basis. It was hence incumbent upon the assessee who was aware of the fact that the dividend income as well as the remuneration had been declared d....