Suren De Silva v. The Commissioner General of Inland Revenue – sllr 1997 volume 2 page 130

In the case between Suren De Silva (plaintiff) and the Commissioner-General of Inland Revenue (defendant), the court addressed the issue of whether Suren De Silva could be held liable for income tax on agricultural income derived from lands owned by his wife, which he had enjoyed. It was held that tax liability rests with the individual enjoying the income when no legal alienation or assignment of income exists, and the validity of assessment and recovery proceedings under the Inland Revenue Act was upheld. The decision reaffirmed the principle that the person in actual receipt and enjoyment of income is subject to taxation, regardless of nominal ownership, especially when settlements have occurred under section 117 of the Inland Revenue Act. This outcome emphasized that settlement agreeme