9911796707
TMI Blog1988 (12) TMI 9X X X X Extracts X X X X X X X X Extracts X X X X ..... filed on August 10, 1964, requested the petitioner to file a duplicate return and, accordingly, duplicate return for the said assessment year was filed on February 12, 1969. On the said return, it was marked "duplicate". A disclosure petition under section 271(4A) of the Income-tax Act, 1961 (hereinafter referred to as "the said Act"), was filed by each of the partners of the petitioner on June 2, 1965. The assessment for the said assessment year was completed on February 14, 1969, and the total income was computed at Rs. 80,731 which included the sum of Rs. 40,000 being the income added by the Income-tax Officer under the head "Income from undisclosed sources" on the basis of peak credits as per disclosure made by the partners under sectio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ond miscellaneous application to the Income-tax Appellate Tribunal for rectification of a mistake under section 254(2) of the said Act, and the said application was rejected by the Tribunal on May 31, 1975. The petitioner filed a reference application under section 256(1) to the Income-tax Appellate Tribunal and the said application was also rejected on October 26, 1976. Against the said order of the Tribunal, the petitioner filed an application under section 256(2) of the said Act in this court and the said application was rejected on July 11, 1977, confirming the view expressed by the Tribunal. In the aforesaid proceedings, the imposition of penalty under the amended provisions was not considered as it was not raised by the petitioner. I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... April 1, 1968, the amended provision of section 271(1)(c)(iii) became operative, the penalty was levied on the basis of the amended provision. In my view, the authorities cannot proceed on the basis of the duplicate return filed. It is not the case that a revised return was filed by the assessee. By filing the duplicate return, the assessee did not commit a new offence. The offence had been committed while the original return was filed. There is no obligation on the part of the assessee to file a duplicate return. It is only when the return is misplaced or not available to assist the Income-tax Officer to complete the assessment, a duplicate return is filed. That being the position, the date of commission of the offence would be the date wh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is the date when an untrue return is filed involving concealment of income ; and not as it stands in the financial year for which assessment is made, nor as it stands at the time the penalty proceedings are taken. Where penalty is sought to be levied for concealment of income, the law to be applied is that in force when the original return was filed and not that in force when a duplicate return with the identical concealment is filed. Inasmuch as the petitioner had filed the original return on August 10, 1964, before the amendment to section 271(1)(c)(iii) of the Act became effective, the rate of penalty or the quantum of penalty must be determined by reference to the law as it stood when the infringement took place. The amendment in questi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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