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TMI Blog1989 (8) TMI 122X X X X Extracts X X X X X X X X Extracts X X X X ..... Court and later on before the High Court and later on before the High Court did not file any return voluntarily as according to her she was not aware of the value of the property. However, on the basis of award given by the Land Acquisition Officer on 19th May, 1961 the assessee's assessment was reopened under s. 17 of the WT Act (referred as 'Act' for brief) in response to which she filed a 'nil' return. By assessment order dated 22nd Aug., 1972, the WTO estimating the right to receive compensation at Rs. 7 lakhs completed the assessment. In an appeal filed by the assessee on 27th Sept., 1972 this figure was reduced to Rs. 6,94,000. In second appeal, the Tribunal fixed the value of this right at Rs. 1,37,720 being 50 per cent of the sum of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he result was thus what it could be in the circumstances, the first appellate authority holding that the penalty was exigible though directing the WTO to recalculate the penalty at 150 per cent of the wealth-tax from the due date to the date of the filing of the return of wealth. 4. The Revenue filed an appeal against the direction given by the AAC to calculate the penalty at 50 per cent (but not 150 per cent wrongly mentioned). The petitioner, however, kept quite mainly for the reason that the penalty calculated as per these directions worked out to a meagre figure of Rs. 94 as is also evident from the modification order dated 11th May 1976. 5. The Tribunal confirmed the AAC's order in second appeal. 6. A reference went to the Hon'bl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he is now advised to file an appeal against the order of the AAC contesting the levy of penalty on the ground of existence of a reasonable cause and, therefore, prays that the delay may be condoned. 10. Learned counsel appearing for the petitioner strenuously contended before us that the condonation of the delay though abnormal is essentially called for in the interest of justice inasmuch as, there are grounds more than one which patently go to constitute a reasonable cause in the assessee's not having filed an appeal in time. 11. The learned departmental representative also very fairly does not contest the assessee's prayer in the peculiar facts and circumstances of the case. 12. We have considered the matter very carefully. There is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssessee which runs as under: " The learned WTO failed to appreciate the fact that your humble petitioner had no wealth liable to tax for the assessment year under consideration according to her and as such was not obliged to file any return within the time allowed under s. 14(1) and therefore the order of the WTO deserves to be set aside." In these circumstances, it appears to us appropriate and in the interest of justice, to condone the delay. Even otherwise, in terms of High Court's directives, we have to consider the matter afresh on the point of reasonable cause. Can there be a better reasonable cause available to the assessee in a penalty case than to say that the wealth or income assessed falls short of taxable limit, thereby stri ..... X X X X Extracts X X X X X X X X Extracts X X X X
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