Deposits cannot be treated as Income of assessee engaged in running financial schemes

CA Sandeep Kanoi Recently In the case of CIT Vs. Sahara India (Firm) Hon’ble Allahabad High Court has held that amount received from deposits from the public under different finance schemes cannot be treated as Income of the Assessee as Assessee is a mere custodian of the deposit. The income arises from the deposits i.e. dividend, interest etc. Brief Facts :- Assessee is a partnership firm. During the assessment year under consideration, the assessee was engaged in running some financial schemes in which deposits were collected from the Public. In his order, the A.O. has treated the amou...