High Court Of Madras
S. Arumugham & Ors. vs. CIT
R. Jayasimha Babu & Mrs. A. Subbulakshmy, JJ.
TC No. 711 of 1989
27th August, 1998
R. Jayasimha Babu, J.
The assessee won the lottery, but want to avoid payment of tax on his winnings. He has been unsuccessful in that endeavour. He claim that there was an oral agreement among himself, his wife and his two children to share the winnings. That plea was taken almost among after the date of purchase of the lottery ticket, and after the results of the lottery had been announced. The Tribunal held that oral agreement so set up was not credible. We see no reason to discard the finding of the Tribunal. It was not the case of the assessee that anyone else had contributed for the purchase of the ticket. The ticket was admittedly purchased out of the assesseeâs own funds. The assessee was the person who received the benefit of that purchase having been lucky enough to be the wining. The tax has been rightly levied on him.
2. The question decided by the Tribunal is essentially one of fact. The reference made to use at the instance of the assessee, as to whether the prize amount is liable to be taxed in entirety in his hands as an individual, is answered in favour of the Revenue and against the assessee. No costs.
[Citation : 246 ITR 670]