| Case ID |
24f6f6cd-9ffb-4faa-97c7-0b6f20e22a25 |
| Body |
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| Case Number |
Civil Appeals Nos. 19 and 20 of 1976 |
| Decision Date |
Apr 01, 1980 |
| Hearing Date |
Jan 31, 1980 |
| Decision |
The Supreme Court of Pakistan upheld the assessment of income tax against the appellant, MRS. SAMINA SHAUKAT AYUB KHAN, for the assessment years 1962-63 and 1966-67. The court concluded that the amounts in question were rightly treated as income from undisclosed sources, as the appellant failed to satisfactorily explain the origin of a large amount of cash in her possession. The court emphasized the importance of disclosing relevant facts regarding income sources and observed that the burden of proof lies with the assessee to demonstrate that the income qualifies for exemption under the relevant clauses of the Income Tax Act. The decision from the High Court was affirmed, indicating that the findings of fact made by the income tax authorities were appropriate given the circumstances of the case. |
| Summary |
In the case of MRS. SAMINA SHAUKAT AYUB KHAN vs. COMMISSIONER OF Income Tax, RAWALPINDI, the Supreme Court of Pakistan addressed significant issues regarding income tax assessments under the Income Tax Act of 1922. The case revolved around the appellant’s large cash holdings, which she claimed were received as gifts at her marriage and on the birth of her children. The court underscored the definition of 'income' as a broad term that encompasses various forms of monetary returns. It was determined that the appellant did not adequately explain the source of the cash, leading to the conclusion that it constituted income from undisclosed sources, subject to taxation. The judgment highlighted the necessity for taxpayers to provide comprehensive details regarding their income, particularly when claiming exemptions. This case serves as a critical reference for understanding tax liabilities and the burden of proof placed on individuals to substantiate their claims regarding non-taxable income. Keywords: Income Tax, undisclosed sources, tax assessment, Supreme Court of Pakistan, MRS. SAMINA SHAUKAT AYUB KHAN, income exemption. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
Not available
|
| Judges |
ANWARUL HAQ, C. J.,
MUHAMMAD HALEEM,
NASIM HASAN SHAH, JJ
|
| Lawyers |
Mumtaz Hussain, Advocate Supreme Court for Appellant,
Amirzada Khan, Assistant Advocate-General (N.W.F.P.) for Respondent
|
| Petitioners |
MRS. SAMINA SHAUKAT AYUB KHAN
|
| Respondents |
COMMISSIONER OF Income Tax, RAWALPINDI
|
| Citations |
1981 SLD 105,
1981 PLD 85,
(1981) 43 TAX 18
|
| Other Citations |
Commissioner of Income-tax, Bengal v. Shaw Wallace & Company A I R 1932 P C 138,
Commissioner of Income-tax, Bengal v. Mercantile Bank of India Limited and others A I R 1936 P C 238,
Raja Bahadur Kamakshya Narain Singh of Ramgarh v. Commissioner of Income-tax, Bihar & Orissa 1943 I T R 513,
Commissioner of Income-tax v. Indra Sen Raizada, Meerut A I R 1940 All. 154,
Commissioner of Income-tax v. Messrs Universal Engineering Co. P L D 1963 Kar. 487,
Messrs Ellahi & Co. v. Commissioner of Income-tax, P L D 1963 Kar. 490,
Auto Stores v. Commissioner of Income-tax. East Pakistan P L D 1964 Dacca 433,
A. Gobindarajulu Madaliar v. Commissioner of Income-tax, Hyderabad (1958) 34 1 T R 807,
Messrs Muhammad Akbar Muhammad Afzal v. Income-tax Appellate Tribunal 1972 S C M R 409,
Miss Assia v. Income-tax Appellate Tribunal P L D 1979 S C 949
|
| Laws Involved |
Income Tax Act, 1922
|
| Sections |
4(3)(vii)
|