RANCHI, India, Jan. 13 -- Jharkhand High Court issued the following order on Dec. 11:

1. Both these appeals arise out of common judgment and award of compensation passed in Motor Accident Claim Case No. 171 of 2021. Insurance Company is in appeal against the quantum of compensation awarded, whereas the claimants are before this Court for enhancement of the compensation amount.

2. Facts are not in dispute that the accident took place on 21.11.2020 in which Vijayanand Mahto died in a motor vehicle accident while he was driving his Scooty bearing Registration No. JH-01BT-3673 which met with an accident with a Scorpio vehicle bearing Registration No. JH-18F-7170.

3. Learned Tribunal recorded a finding of fact that the accident was an outcome of rash and negligent driving by the driver of the Scorpio vehicle.

4. On the point of income, as per case of the claimants, the deceased owned a proprietary firm under the name of Sanjay Sweets and Caterers and had a monthly income of Rs.74,245/-. In support of the income, documentary evidence was adduced being Income Tax Return for the assessment year 2019-2020 (Ext.8) in which the gross income was disclosed to be Rs.8,90,949/- with accruing income tax of Rs.61,038/-. The nature of business was established by G.S.T. Registration certificate of registration for the shop on deceased's name being Ext.9.

5. The learned Tribunal, however, held that the income was not the individual income of the deceased and by his death, the family was not completely deprived of the entire income, and therefore, 50% of the income was deducted and Rs.4,14,956/- was taken as the loss of annual income on the basis of which, compensation of Rs.51,27,273/- was assessed.

6. It is argued by learned counsel for the appellant-Insurance Company that in order to assess the income of the deceased, it was incumbent on the part of the claimants to have adduced into evidence the income tax return for three consecutive financial years preceding the death of the deceased. However, the income tax return only for the assessment year 2019-2020 (financial year 2018-2019) was brought on record which has been accepted by the learned Tribunal.

7. In reply, learned counsel for the claimants submits that in view of the ratio laid by the Hon'ble Apex Court in Smt. Sarla Verma & Ors. Vs. Delhi Transport Corporation and Anr. (2009) 6 SCC 121 = Civil Appeal No. 3483 of 2008), the Tribunal was only required to take into account the actual income of the deceased at the time of his death. Therefore, there was no requirement for filing of income tax return for three years preceding the death of the deceased.

*Rest of the document can be viewed at: (https://hcservices.ecourts.gov.in/ecourtindiaHC/cases/display_pdf.php?filename=tuqye3PhFs%2BBDn75ghiOpL2kzhdpmUkuf%2BUBuyI0vgeW7kGvhSiesvVTfhraprsN&caseno=MA/170/2023&cCode=1&cino=JHHC010177002023&state_code=7&appFlag=)

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