Fakir Mohmed Haji Hasan v. CIT

247 ITR 290High Court2001#751 most cited

What is Fakir Mohmed Haji Hasan v. CIT authority for?

Income deemed under sections 68, 69, 69A, 69B, or 69C of the Income-tax Act is a distinct category, separate from regular heads of income under Section 14, and losses from other heads, including business losses, cannot be set off against such deemed income.

136

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2015 to 2026.

Also referred to as

Fakir Mohmed Haji Hasan v. CIT · 247 ITR 290 · Section 68 · Section 69 · Section 115BBE · Section 71 · deemed income · unexplained investments · set off of losses · business loss set off

Also reported as

120 Taxmann 11

Sections most often in play

Section 115BBESection 68Section 145(3)Section 143(3)Section 153ASection 144Section 142(1)Section 153D
Read the full judgment

Issues it is cited on

section 155bbesection 69dsection 66set off of lossessection 40(b)section 155section 69bsurvey under section 133apreponderance of probabilityprofits and gains of business or professionsection 115bbsection 115b

Judgments citing Fakir Mohmed Haji Hasan v. CIT

Construction Protal Pvt. Ltd., Pune vs. Income-Tax Officer, Pune

In the result, the appeal of the assessee is allowed

ITA 1607/PUN/2014[2005-06]Status: DisposedITAT Pune06 Jun 2018AY 2005-06

Bench: Shri D.Karunakara Rao, Am & Shri Vikas Awasthy, Jm आयकर अपील सं. / Ita Nos. 1607 & 1608/Pun/2014 िनधा"रण वष" / Assessment Years : 2005-06 & 2006-07

For Appellant: Shri Nilesh Khandelwal & Shri Rajiv ThakkarFor Respondent: Shri Ajay Modi, JCIT
Section 133ASection 69A

…xable under the head salary, house property and business, capital gains or others. Therefore, consequential deductions u/s.70, 71 and 72 of the Act are not available and relied on the following decisions in this regard (1) Fakir Mohamed Haji Hasan Vs. CIT 247 ITR 290 (Guj.), (2) Liberty Plywoods (P) Ltd. Vs. ACIT 29 taxmann.com 268 (ITAT Chd.), (3) ITO Vs. Dulari Digital Photo Services (P) Ltd. 53 SOT 210 (ITAT Chd.) etc. 5.1 Further, assessee also relied on various other decisions of Pune Bench and in the case of Golani Bros Vs. ACIT 70 TTJ 887. However, the CIT(A) distinguished the same by stating the…

DCIT, Ludhiana vs. M/S Marshal Machines Pvt. Ltd., Ludhiana

ITA 57/CHANDI/2017[2013-14]Status: DisposedITAT Chandigarh22 May 2018AY 2013-14

Bench: Smt. Diva Singh & Dr. B.R.R. Kumarassessment Year: 2013-14

For Appellant: Sh. Y.K. SudFor Respondent: Smt. Renu Amitabh
Section 133ASection 69

…er amounts to undisclosed income assessable under section 69. She relied on the case of Kim Pharma Pvt. Ltd. (supra) and also Sant Steel & Alloys Pvt. Ltd. in ITA No. 2808 and 2809/Del/2013 dt. 02/06/2016 and also the case of Fakir Mohamman Hazi Hasan Vs. CIT 247 ITR 290. 9. We have gone through the entire facts of the cases relied upon by the Ld. DR in the case of Kim Phamra (supra) wherein the Hon’ble High Court held as under: “The scheme of sections 69, 69A, 69B and 69C of the Income-tax Act, 1961, would show that in cases where the nature and source of investments made by the assessee or the nature and sourc…

The ITO, Ward-2(4), Bhavnagar vs. Raghuvir Ginning Factory, Bhavnagar

ITA 211/AHD/2016[2012-13]Status: DisposedITAT Ahmedabad23 Feb 2018AY 2012-13

Bench: Shri Rajpal Yadav & Shri N.K. Billaiyaassessment Year: 2012-13

For Appellant: Albinus Tirkey, Sr. D.R

…Officer was of the firm belief that the amount disclosed by the assessee is not eligible for the set off of losses from any other source of income. Drawing support from the decision of Hon’ble Gujarat High Court in the case of Fakir Mohmed Haji Hasan vs. CIT, 247 ITR 290 (Guj), the Assessing Officer denied the set off of losses and taxed the entire income disclosed during the survey proceedings. 5. The assessee strongly agitated the matter before the CIT(A). After considering the facts and the submissions, the CIT(A) was convinced that the disclosed amount is assessable under one of the head of income, loss and…

The ITO, Ward-2(4), Bhavnagar vs. Jay Mahakali Ginning, Bhavnagar

ITA 210/AHD/2016[2012-13]Status: DisposedITAT Ahmedabad23 Feb 2018AY 2012-13

Bench: Shri Rajpal Yadav & Shri N.K. Billaiyaassessment Year: 2012-13

For Appellant: Albinus Tirkey, Sr. D.R

…Officer was of the firm belief that the amount disclosed by the assessee is not eligible for the set off of losses from any other source of income. Drawing support from the decision of Hon’ble Gujarat High Court in the case of Fakir Mohmed Haji Hasan vs. CIT, 247 ITR 290 (Guj), the Assessing Officer denied the set off of losses and taxed the entire income disclosed during the survey proceedings. 5. The assessee strongly agitated the matter before the CIT(A). After considering the facts and the submissions, the CIT(A) was convinced that the disclosed amount is assessable under one of the head of income, loss and…

The ITO, Ward-2(4), Bhavnagar vs. Kailash Ginning Factory, Bhavnagar

ITA 209/AHD/2016[2012-13]Status: DisposedITAT Ahmedabad23 Feb 2018AY 2012-13

Bench: Shri Rajpal Yadav & Shri N.K. Billaiyaassessment Year: 2012-13

For Appellant: Albinus Tirkey, Sr. D.R

…Officer was of the firm belief that the amount disclosed by the assessee is not eligible for the set off of losses from any other source of income. Drawing support from the decision of Hon’ble Gujarat High Court in the case of Fakir Mohmed Haji Hasan vs. CIT, 247 ITR 290 (Guj), the Assessing Officer denied the set off of losses and taxed the entire income disclosed during the survey proceedings. 5. The assessee strongly agitated the matter before the CIT(A). After considering the facts and the submissions, the CIT(A) was convinced that the disclosed amount is assessable under one of the head of income, loss and…

Paliwal Jewellers, Jaipur vs. ACIT, Jaipur

In the result, the appeal of the assessee is allowed for statistical purposes

ITA 83/JPR/2017[2013-14]Status: DisposedITAT Jaipur27 Nov 2017AY 2013-14
For Appellant: Shri Shrawan Kr. Gupta (Adv.)For Respondent: Shri Prithviraj Meena (JCIT)
Section 254(2)Section 40b

…closed income which cannot be treated as “income from business or profession” and has to be treated as “income from other sources”. In support, reliance was placed on the decision of the Hon’ble Gujarat High Court in case of Shri Fakir Mohd Haji Hasan vs. CIT 247 ITR 290 (Guj). Further, the Assessing Officer worked out the book 4 M/s Paliwal Jewellers, Jaipur Vs ACIT, Jaipur profits for the purposes of calculation of remuneration to partners at Rs. 83,572/- and the allowable remuneration was computed at Rs. 1,50,000/- as against claimed remuneration of Rs. 65,60,000/- resulting in addition of Rs. 64,10,000/- in t…

Watermark Financial Consultants Ltd, Mumbai vs. Pr CIT 3, Mumbai

In the result, appeal filed by the assessee for assessment year

ITA 3789/MUM/2017[2012-13]Status: DisposedITAT Mumbai21 Nov 2017AY 2012-13

Bench: Shri B.R. Baskaran (Am) & Shri Ram Lal Negi (Jm) Assessment Year: 2012-13

For Appellant: Mrs. Nidhi Patel (AR)For Respondent: Shri Shishir Dhamija (DR)
Section 143Section 143(3)Section 251Section 263Section 68

…examination at the time of revision, Ground No.6 In doing so, the Pr. CIT-3, Mumbai, further erred in directing the A.O. to deny the benefit of set off relying upon the decision of a non-jurisdictional Court in the case of Fakir Mohammed Haji Hassan Vs. CIT 247 ITR 290 (Guj). The Pr. CIT -3 erred on facts and in law ignoring; (i) the said decision of the non-jurisdictional Court has been repeatedly not followed subsequently in a series of judgments in the cases of CIT Vs Shilpa Dying & Printing Mills Pvt. Ltd 219 Taxman 279 (Guj), Krishna Textiles Vs CIT 387 ITR 114 (Guj), CIT Vs. Chensing Ventures 291 ITR 258…

Bajargan Traders, Jaipur vs. ACIT, Alwar

In the result, the ground no

ITA 137/JPR/2017[2013-14]Status: DisposedITAT Jaipur17 Mar 2017AY 2013-14
For Appellant: Shri P.C. Parwal (C. A)For Respondent: Shri Prem Prakash Meena (JCIT)
Section 133

…s “whether the CIT(A)-2, Udaipur has erred in directing the AO to assess the unexplained investment surrendered by the assessee under the head “Income from Business” ignoring the decision of the Hon’ble Gujarat High Court in the case of Fakir Mohd. Hazi Hasan 247 ITR 290 that unaccounted income ought to be categorized under the residuary head of ’Income from other sources”. In respect to the said issue, the findings of the Coordinate Bench are as follows: “ We have heard the rival contentions and perused the material available on record. Undisputed facts emerged from the record that at the time of survey excess s…

ACIT Cen Cir 13, Mumbai vs. Rahil Agencies, Mumbai

In the result, the appeal of the revenue is dismissed

ITA 4413/MUM/2014[2011-12]Status: DisposedITAT Mumbai23 Nov 2016AY 2011-12

Bench: Shri B.R. Baskaran (Am) & Shri Pawan Singh (Jm)

Section 132Section 133ASection 143(3)Section 69A

…is not satisfied hence the said stock is not taxable under section 69 of the Act. 9. Now, we shall deal with the decision relied on by the AO while declining set off of stock offered against business loss. The ratio of decision of Fakir Mohammed Haji Hasan (247 ITR 290) as relied on by the AO are not applicable in the present case because in the above case the assessee was found some gold and currency by the custom authority which was confiscated by the custom department. The assessee has offered the said gold as undisclosed stock and claimed the loss on confiscation of gold as business loss. The assessee was e…

Ghanshyam Share & Stock Brokers, Mumbai vs. DCIT 4(1), Mumbai

In the result, the assessee’s appeal is partly allowed and partly allowed for statistical purposes, and the Revenue’s appeal is dismissed

ITA 3573/MUM/2014[2009-10]Status: DisposedITAT Mumbai04 Oct 2016AY 2009-10

Bench: Shri Sanjay Arora, Am & Shri Amarjit Singh, Jm आयकर अपील सं./I.T.A. No. 3573/Mum/2014 ("नधा"रण वष" / Assessment Year: 2009-10) Ghanshyam Share & Stock Brokers Dy. Cit, Range 4(1), Aayakar Bhavan, 6Th Floor, Pvt. Ltd., बनाम/ C/O. D. C. Jain & Co., R. N. 640, M. K. Road, 75, Bombay Mutual Bldg., 1St Floor, Mumbai Vs. D. N. Road, Fort, Mumbai-400 001 "थायी लेखा सं./जीआइआर सं./Pan/Gir No. Aaacg 3561 H (Assessee) (Revenue) : आयकर अपील सं./I.T.A. No. 3762/Mum/2014 ("नधा"रण वष" / Assessment Year: 2009-10) Dy. Cit, Range 4(1), Ghanshyam Share & Stock Brokers बनाम/ Room Ni. 640, 6Th Floor, Pvt. Ltd., 24, 2Nd Fanaswadi, D. A. Lane, Aaykar Bhavan, M. K. Road, Vs. Mumbai Mumbai-400 004 (Revenue) (Assessee) : Assessee By : Shri D. C. Jain Revenue By : Shri Airiju Jaikaran सुनवाई क" तार"ख / : 23.06.2016 Date Of Hearing घोषणा क" तार"ख / : 04.10.2016 Date Of Pronouncement आदेश / O R D E R Per Sanjay Arora, A. M.: These Are Cross Appeals, I.E., By The Assessee & The Revenue, Directed Against The Order By The Commissioner Of Income Tax (Appeals)-8, Mumbai (‘Cit(A)’ For Short) Dated 13.03.2014, Partly Allowing The Assessee’S Appeal Contesting It’S

For Appellant: Shri D. C. JainFor Respondent: Shri Airiju Jaikaran
Section 143(3)

…st speculative loss. Deemed income stands to be brought to tax under Chapter-VI of the Act, i.e., aggregation of income, and not under any particular head of income specified u/s. 14, as explained by the Hon’ble Court in Fakir Mohmed Haji Hasan vs. CIT [2001] 247 ITR 290 (Guj). The only surviving issue, raised per Gd. 3, is in respect of deletion of addition made by the AO, denying the assessee’s ‘claim’ for reduction in the closing stock and, consequently, profit/income (per the revised return) by Rs.12,13,444/-, in the in the absence of any details. The entire details were examined in the remand proceedings, to…

ACIT, Haridwar vs. M/S Sant Steel & Alloys (P) Ltd., Kotdwar

In the result, appeals filed by Revenue in ITA No

ITA 2809/DEL/2013[2008-09]Status: DisposedITAT Delhi02 Jun 2016AY 2008-09

Bench: Sh. I.C. Sudhir & Sh. O.P. Kant

Section 14Section 143(1)Section 147Section 148Section 68Section 71

…refore, same cannot be adjusted against the loss under the head profit and gains of business as per section 71 of the Act. In support thereof, she relied on the judgment of the Hon’ble Gujarat High Court in the case of the Fakir Mohamad Haji Hasan reported in 247 ITR 290 (Guj). 7. On the other hand, the learned Authorized Representative (AR) of the assessee relying on the order of the learned Commissioner of Income- tax(Appeals) submitted that even the income from undisclosed sources would fall within the scope of the total income and belongs to the category of income from other sources and eligible for setoff ag…

ACIT, Haridwar vs. M/S Sant Steel & Alloys (P) Ltd., Kotdwar

In the result, appeals filed by Revenue in ITA No

ITA 2808/DEL/2013[2003-04]Status: DisposedITAT Delhi02 Jun 2016AY 2003-04

Bench: Sh. I.C. Sudhir & Sh. O.P. Kant

Section 14Section 143(1)Section 147Section 148Section 68Section 71

…refore, same cannot be adjusted against the loss under the head profit and gains of business as per section 71 of the Act. In support thereof, she relied on the judgment of the Hon’ble Gujarat High Court in the case of the Fakir Mohamad Haji Hasan reported in 247 ITR 290 (Guj). 7. On the other hand, the learned Authorized Representative (AR) of the assessee relying on the order of the learned Commissioner of Income- tax(Appeals) submitted that even the income from undisclosed sources would fall within the scope of the total income and belongs to the category of income from other sources and eligible for setoff ag…

ACIT Cen Cir 13, Mumbai vs. Asian Star Diamonds Iternational P.Ltd, Mumbai

In the result, both appeals of the revenue are dismissed

ITA 4412/MUM/2014[2011-12]Status: DisposedITAT Mumbai31 May 2016AY 2011-12

Bench: Shri R.C.Sharma, Am & Shri Sandeep Gosain, Jm आमकय अऩीर सं./Ita No.4411/Mum/2014 (नििाारण वषा / Assessment Years : 2011-2012) Acit, Central Circle-13, Room Vs. M/S ‘A’ Star Exports, No.1103, 11Th Floor Old Cgo 114/116, Mittal Court, C- Wing, 11Th Floor, Nariman Building (Annex.) M.K.Road, Mumbai-400020 Point, Mumbai-400021 स्थामी रेखा सं./ जीआइआय सं./ Pan/Gir No. : Aabfv 4508 K (अऩीराथी /Appellant) (प्रत्मथी / Respondent) .. & आमकय अऩीर सं./Ita No.4412/Mum/2014 (नििाारण वषा / Assessment Years : 2011-2012) Acit, Central Circle-13, Room Vs. M/S Asian Star Diamonds No.1103, 11Th Floor Old Cgo International Pvt. Ltd., Building (Annex.) M.K.Road, 114, Mittal Court, C- Wing, 11Th Floor, Nariman Mumbai-400020 Point, Mumbai-400021 स्थामी रेखा सं./ जीआइआय सं./ Pan/Gir No. : Aaacp 4726 H (अऩीराथी /Appellant) (प्रत्मथी / Respondent) ..

For Appellant: Shri Rakesh JoshiFor Respondent: Ms. Arju Garodia
Section 132Section 133ASection 143(3)Section 69A

…9 is not satisfied hence the said stock is not taxable under section 69 of the Act. 9. Now, we shall deal with the decision relied on by the AO while declining set off of stock offered against business loss. The ratio of decision of Fakir Mohammed Haji Hasan (247 ITR 290) as relied on by the AO are not applicable in the present case because in the above case the assessee was found some gold and currency by the custom authority which was confiscated by the custom department. The assessee has offered the said gold as undisclosed stock and claimed the loss on confiscation of gold as business loss. The assessee was e…

ACIT Cen Cir 13, Mumbai vs. 'A' Star Exports, Mumbai

In the result, both appeals of the revenue are dismissed

ITA 4411/MUM/2014[2011-12]Status: DisposedITAT Mumbai31 May 2016AY 2011-12

Bench: Shri R.C.Sharma, Am & Shri Sandeep Gosain, Jm आमकय अऩीर सं./Ita No.4411/Mum/2014 (नििाारण वषा / Assessment Years : 2011-2012) Acit, Central Circle-13, Room Vs. M/S ‘A’ Star Exports, No.1103, 11Th Floor Old Cgo 114/116, Mittal Court, C- Wing, 11Th Floor, Nariman Building (Annex.) M.K.Road, Mumbai-400020 Point, Mumbai-400021 स्थामी रेखा सं./ जीआइआय सं./ Pan/Gir No. : Aabfv 4508 K (अऩीराथी /Appellant) (प्रत्मथी / Respondent) .. & आमकय अऩीर सं./Ita No.4412/Mum/2014 (नििाारण वषा / Assessment Years : 2011-2012) Acit, Central Circle-13, Room Vs. M/S Asian Star Diamonds No.1103, 11Th Floor Old Cgo International Pvt. Ltd., Building (Annex.) M.K.Road, 114, Mittal Court, C- Wing, 11Th Floor, Nariman Mumbai-400020 Point, Mumbai-400021 स्थामी रेखा सं./ जीआइआय सं./ Pan/Gir No. : Aaacp 4726 H (अऩीराथी /Appellant) (प्रत्मथी / Respondent) ..

For Appellant: Shri Rakesh JoshiFor Respondent: Ms. Arju Garodia
Section 132Section 133ASection 143(3)Section 69A

…9 is not satisfied hence the said stock is not taxable under section 69 of the Act. 9. Now, we shall deal with the decision relied on by the AO while declining set off of stock offered against business loss. The ratio of decision of Fakir Mohammed Haji Hasan (247 ITR 290) as relied on by the AO are not applicable in the present case because in the above case the assessee was found some gold and currency by the custom authority which was confiscated by the custom department. The assessee has offered the said gold as undisclosed stock and claimed the loss on confiscation of gold as business loss. The assessee was e…

Hemla Embroidery Mills Pvt. Ltd., Faridabad vs. ACIT, Faridabad

In the result appeal of the assessee is partly allowed

ITA 1491/DEL/2014[2009-10]Status: DisposedITAT Delhi05 Apr 2016AY 2009-10

Bench: Shri H.S.Sidhu & Shri Prashant Maharishihemla Embroidery Mills Pvt. Dcit, Ltd., Circle-I, Vs. 14/6, Mathura Road, Faridabad Faridabad Pan:Aaach4302B Dcit, (Appellant) (Respondent)

For Appellant: Sh.MP. Rastogi, AdvFor Respondent: Sh. Shravan Gotra

…n under any head of income. On appeal before the ld CIT(A) he also confirmed the decision of ld. AO holding that provision of section 69C are clear and relying upon the decision of the Hon. Gujarat High Court in case of Fakir Mohmed Haji Hsasan Vs. CIT (2001) 247 ITR 290 (Gujarat). Against this the assessee is in appeal before us. 8. The ld AR of the appellant claimed that provision of section 69C have wrongly been applied to the facts of the case and decision of Hon’ble Gujarat High Court is also not applicable for the reasons that that it is a case of survey and assessee has owned income during the course of su…

Prafulla Kumar Ghosh, Malda vs. ITO, Ward-2, Malda

In the result, the appeal of the assessee is partly allowed

ITA 686/KOL/2012[2006-07]Status: DisposedITAT Kolkata18 Sept 2015AY 2006-07

Bench: Shri Mahavir Singh, Jm & Shri M.Balaganesh, Am] Assessment Year : 2006-07 (Appellant ) (Respondent) Prafulla Kumar Ghosh -Versus- I.T.O., Ward-2, Malda Malda (Pan:Adhpg 8048 C) For The Appellant : Shri K.M.Roy, Fca For The Respondent : Shri S.S.Alam, Jcit Date Of Hearing : 10.09.2015. Date Of Pronouncement : 18.09.2015. Order Per Shri M.Balaganesh, Am 1. This Appeal Of The Assessee Arises Out Of The Order Of The Learned Cita In Appeal No. 279/Mld/Cit(A)/Jal/08-09 Dated 02.03.2012 For The Asst Year 2006-07 Arising Out Of The Order Of The Learned Assessing Officer Framed U/S 143(3) Of The Income Tax Act, 1961 (Hereinafter Referred To As The ‘Act’).

For Appellant: Shri K.M.Roy, FCAFor Respondent: Shri S.S.Alam, JCIT
Section 133(6)Section 142ASection 143(3)Section 145(3)Section 69B

…6. Sec. 69B could be used even if business income is estimated as they do not come under any specific heads of income. Reliance in this regard is placed on the decision of Hon’ble Gujarat High Court in the case of Fakir Mohammed Haji Hassan vs CIT reported in 247 ITR 290. 7 Prafulla Kumar Ghosh A.Yr.2006-07 “7. It is, therefore, clear that, when the investment in or acquisition of gold, which was recovered from the assessee was not recorded in the books of accounts and the assessee offered no explanation about the nature and source of such investment or acquisition and the value of such gold was not recorded in…