9911796707
TMI Blog1989 (10) TMI 30X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 210 was invalid and imposition of penalty under section 273(c) was not sustainable in law on that ground ?" The assessee had filed the return for the assessment year 1974-75 showing an income of Rs. 1,00,870.The Income-tax Officer issued a notice under section 210 to the assessee to show cause why penalty under section 273(c) should not be imposed for not complying with the provisions of section 212(3A) of the Act. In reply to the show-cause notice, the assessee submitted that he had filed a return for the assessment year 1975-76 showing an income of Rs. 6,65,850 and the assessment had been made on an income of Rs. 7,40,967. It was explained by the assessee that the estimate under section 212 (3A) had not been filed as the assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 870 and the matter was covered by section 292 of the Act, did not prevail with the Commissioner of Income-tax (Appeals) and was rejected on the ground that section 292B had been enforced with effect from October 1, 1975, and the notice had been issued prior to that date. No other point was raised before the Commissioner of Income-tax (Appeals). The Revenue went up in appeal before the Income-tax Appellate Tribunal, Amritsar Bench, and the learned Tribunal came to the conclusion that the Commissioner of Income-tax (Appeals) had cancelled the penalty only on the ground that notice under section 210 of the Act was invalid because it gave the figure of income wrongly. The income returned for the assessment year 1974-75, which should have been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e-tax Officer. It could not mislead the assessee who had duly paid that demand. A demand notice mentioning a figure of demand which is inaccurate because of a wrong calculation does not become illegal and only requires rectification. The Tribunal also held that the notice issued under section 210 was not invalid and the calculation of penalty on that basis was correct. The appeal of the Revenue was allowed and the order of the Commissioner of Income-tax (Appeals) was set aside. On an application filed by the assessee, the case has been stated and the above-mentioned question of law has been referred to this court for opinion. We have heard learned counsel for the parties and perused the record. Shri G. C. Sharma, Senior Advocate, learne ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
