SAMINA SHAUKAT AYUB KHAN versus COMMISSIONER OF INCOME-TAX, RAWALPINDI
Section 4 (3) (vii) of the words and phrases used in the Income Tax Act, 1922, the income tax received by an unknown source, which is generally and periodically equivalent to the return profit. Regularly, or anticipated regular, farm revenue multiplication from a fixed source can be assumed, however, the return of data from a particular source over and over again is not usually the case. The role may consist of a series of separate receipts on the income as is the case. The question of whether professional income is equal to income or not, in the final analysis, depends on the answer whether it depends on the particular facts and circumstances of the case. And if the source is not satisfactorily stated by the assessee, he / she can legally offer the income tax officer a question regarding the income of the assessee from an unknown source (words and phrases).
exercise of a profession, vocation or occupation ; oar that it was of a casual and non-recurring nature,. All these factors and attributes can be ascertained only if the assessee place all the relevant facts before the
Income-tax authorities, for otherwise the nature of the income and its source are clearly left in the realm of :peculation. Not a single case was cited at the Bar to show that the exemption granted by clause (vii) of subsection (3) of section 4 of the Act would be available in the case of income from an undisclosed source. The stringent requirements spelt out in this clause can only be satisfied by the disclosure of all the relevant facts, and not otherwise. In the circumstances, the High Court appears to us to be right in taking the view that the appellant had failed to make out a case for the grant of exemption under this clause.
For the foregoing reasons, we are satisfied that the amounts in question have been rightly treated as income in the hands of the appellant, and they were not exempt from tax under clause (vii) of subsection (3) of section 4 of the Act. Both the appeals, therefore, fail and are hereby dismissed. However, in, view of the legal questions involved, the parties are left to bear their own costs.
s. A. H, Appeal dismissed
