1998 (4) TMI 43

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..... e Wealth-tax Officer levied penalty under section 18(1)(a) of the Wealth-tax Act, 1957, for the assessment year 1961-62 for its failure to file a return of wealth within the time allowed under section 15 of the Act. The due date for filing the return for the assessment year 1961-62 was June 1, 1961. The assessee did not file the return within the time limit prescribed under the provisions of secti .....

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..... n September 24, 1961, and a firm was constituted and the source for the investment in the firm has come from the assets partitioned in the assessee's family. The Income-tax Officer initially accepted the claim of the assessee as to the source of the investment in the partnership firm, but, subsequently on the basis of the directions of the Commissioner of Income-tax cancelled the earlier assessmen .....

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..... ate Tribunal on the basis of the available material and the said finding rendered by the Appellate Tribunal was a pure question of fact. The Appellate Tribunal in the appeal preferred against the levy of penalty under the Wealth-tax Act came to the conclusion that the Income-tax Officer himself did not believe the availability or the existence of the cash of Rs. 14,35,000 and, therefore, the que .....

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..... thereof on the date of partition. On the basis of the judgment of this court, it cannot be said that the assessee after having known that it had cash to the extent of Rs. 14,35,000 failed to submit the return. As a matter of fact, the Incometax Officer himself did not believe that the assessee had a cash of Rs. 14,35,000 on the date of partition. The Income-tax Officer himself has doubted that th .....

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..... The Tribunal has come to the correct conclusion in holding that the levy of penalty under section 18(1)(a) of the Act imposed on the assessee was not justifiable. We find no error in the order of the Appellate Tribunal. Accordingly, we answer the question of law referred to us in the affirmative and against the Revenue. Mr. K. Ramagopal undertakes to file vakalat. The assessee will be entitled to .....

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