9911796707
TMI Blog1990 (3) TMI 94X X X X Extracts X X X X X X X X Extracts X X X X ..... r s. 273(1)(b) for the alleged failure on the part of the assessee to file a statement of advance tax within the meaning of s. 209(1)(A). In response to the show-cause notice it was urged that a statement of advance tax was required to be furnished before the date on which the first instalment of advance tax was due if and only if the assessee's current income was likely to exceed the amount specified in sub-s. (2) of s. 208. Attention was also invited to the fact that the assessed income for the preceding four asst. yr. s. viz., 1975-76 to 1978-79 had been computed at figures which were below the taxable limit or at Rs. Nil. It was also stated that in respect of asst. yr. 1978-79 that being the latest year prior to the date of the first in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 6. The learned counsel for the appellant reiterated arguments as advanced before the tax authorities and once again invited our attention to the assessed figures of income for the immediately four preceding assessment years. for the submission that all these assessments had been completed at either Nil income or income which was below the taxable limit. He also referred to the scheme of s.209A as highlighted in CBDT Circular No. 240 dt, 17th May, 1978. It was submitted that s. 209A had come about on the statute book w.e.f. 1st June, 1978 and as far as the assessee was concerned it was absolutely a new provision of law since its on accounting period ended on 31st March, 1979. In drawing our attention to the assessed figures for the earlier ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sment tax was required to be paid. The decision of the Bombay High Court is a direct authority on the subject under consideration. 8.1 Even on the merits of the case we are satisfied with the explanation tendered inasmuch as this was the year in which the undertaking of the company passed on to the Gujarat Electricity Board and the quantum of compensation was in a fluid state. This becomes apparently clear from the assessment order itself where the ITO had subjected to tax only a part of the amount whereas in a subsequent order passed under s. 154 the same had been hiked up to a substantial figure. On both these scores we are satisfied that no penalty is exigible. The same is cancelled. 9. The appeal is allowed. - - TaxTMI - TMITa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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