V.V.R.N.M. SUBBAYYA CHETTIAR vs COMMISSIONER OF INCOME-TAX, MADRAS.

The Supreme Court interpreted Section 4A(b) of the Indian Income-tax Act, 1922, establishing that a Hindu undivided family is presumed to be a resident in taxable territories unless proven otherwise. The Court clarified that the burden of proof lies with the assessee to demonstrate that the control and management of family affairs are situated outside British India. In this case, the Court held that the appellant did not discharge this burden, thus affirming the presumption of residency in British India for the year in question.