CHUHARMAL S/O TAKARMAL MOHNANI vs COMMISSIONER OF INCOME-TAX, M.P., BHOPAL

The Supreme Court upheld the assessment of Rs.87,455 as concealed income under Section 69A of the Income Tax Act, 1961, due to the seizure of foreign watches from the petitioner's possession. The Court emphasized that under Section 110 of the Indian Evidence Act, 1872, the onus is on the person claiming non-ownership to prove it, which the petitioner failed to do. Consequently, the penalty imposed under Section 271(1)(c) for concealing income was also justified, affirming the High Court's decision against the assessee.