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TMI Blog1992 (8) TMI 49X X X X Extracts X X X X X X X X Extracts X X X X ..... ings out of the income earned from the profession. There was survey by the income-tax officials at the nursing home, and at that time it was found that there were other incomes which had not been disclosed. The petitioners then put forward a case that they got those monies by obtaining loans from relatives who were agriculturists. But they were not able to prove the same. According to the petitioners, it was suggested that they could file revised returns and, accordingly, they filed revised returns. The revised returns were filed on November 28, 1988, after the survey of the premises, on July 14, 1988, under section 133A of the Income-tax Act, 1961. The returns were accepted and tax was levied. Besides the same, the petitioners were also di ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... other sins of omission and commission in the original returns. Here, it is worthwhile to note that, in the return for 1985-86, though the assessee had stated that a sum of Rs. 4,11,000 had been spent on the construction up to March 31, 1985, he significantly refrained from explaining the sources. One is led to believe that such omission was deliberate because the assessee was well aware then itself that he did not have acceptable proof regarding the sources. He ought to have, therefore, taken care to show higher income in those returns themselves. The offer made during the course of the survey was a rather delayed effort at making good the earlier omission. Having regard to all these facts and circumstances, I am of the view that the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t in full. According to learned counsel, the discretion given by the Section is a statutory discretion to be exercised in accordance with law and more or less duty is cast on the official concerned to grant waiver as prayed for. I do not agree with this contention. The relevant part of the section itself reads that the Commissioner may, in his discretion, reduce or waive the amount of interest paid or payable under sub-section (8) of section 139 or section 215 or section 217 or the penalty imposed or imposable under section 273 of the Act. The said section has to be read along with sections 139(8) and 217 of the Act. Section 139(8) of the Act provides that, where the return under sub-section (1) or sub-section (2) or sub-section (4) for a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he relevant facts and circumstances have been taken into account by the officials and they have exercised their discretion in the proper way. Learned counsel for the petitioner refers to the judgment in A. N. Sarvaria v. CWT [1986] 158 ITR 803 (Delhi). That is a case under the Wealth-tax Act. There is a similar provision under section 18 of the Wealth-tax Act. It was found on the facts that there was a survey of agricultural properties showing that the petitioner therein owned agricultural lands also. After that survey, the petitioner filed a revised return disclosing all the relevant facts. The court held that such a disclosure was voluntary within the meaning of the section and there was no question of any compulsion because of the surv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the Kerala High Court has set out in detail the provisions of section 273A of the Act and considered the law on the subject. It is seen from the facts of the case that the disclosure in that case was not in any way related to matters revealed from the search in the spice and time. Hence, the disclosure was held to be voluntary. It is also found by the Bench that there was no detailed consideration of the various aspects of the facts of the case by the Commissioner in his order. Hence, the order of the Commissioner was set aside and the matter was sent back for fresh disposal by the Commissioner. The ruling in that case will not help the petitioners herein as the facts, which were disclosed by the petitioner related to the matters which we ..... X X X X Extracts X X X X X X X X Extracts X X X X
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