Partap Steel Rolling Mills vs Commissioner of Income Tax

Chinnappa Reddy, Actg. C.J.—The assessee submitted his return of income for the assessment year 1959-60 on April 7, 1961, though it was due to be submitted on September 30, 1959. The Income Tax Officer imposed a penalty of Rs. 18,702 u/s 271(1)(a) of the Income Tax Act. The Appellate Assistant Commissioner and the Tribunal confirmed the levy of penalty. The question referred to us is, whether, on the facts and in the circumstances of the case, the penalty levied was rightly upheld by the Tribunal. The argument of Shri Bhagirath Dass, learned counsel for the assessee, was that no penalty would have been leviable but for the addition of a sum of Rs. 63,033 to the income of the assessee for the year in question as a result of the voluntary disclosure of a sum of Rs. 11,00,000 as concealed income for the years 1958-59 to 1967-68. We are not concerned with how the addition came to be made. We are only concerned with the fact that the assessee failed to submit a reform within the time prescribed and his income during the relevant accounting year exceeded Rs. 40,000. The penalty was, therefore, rightly levied. The question is answered in favour of the revenue and against the assessee. No costs.