9911796707
TMI Blog1978 (8) TMI 100X X X X Extracts X X X X X X X X Extracts X X X X ..... ssessee had concealed the particulars of assets of Nangal Shama and Muzaffarpur. The IAC has levied the penalties for the two years by taking into account the valuation of these assets in the two years. For the first year, the WTO had computed the value of the agricultural lands in the three villages, belonging to the assessee, at Rs. 95,600 as against Rs. 48,200 shown in the second year, in respect of the agricultural lands in the village two villages at Rs. 86,600 as against Rs. 40,200 shown. The value of the disclosed agricultural land in the village Khurla was also enhanced for both the assessment years to Rs. 2,99,700 as against the disclosed value of Rs. 1,49,800 but in respect of this higher estimate of value of the land, no penalty ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... value of her agricultural lands in villages Nangal Shama, Bhojwal and Muzaffarpur at Rs. 40,000 Rs. 8,000 and Rs. 200 respectively and the total value of the agricultural lands including the Khurla lands was placed at Rs. 1,98,000. For the second year, in the revised return, the value of the land sold of village Bhojwal was excluded and the value of the remaining three lands adopted at the same figure as were taken for the earlier years, was shown at. Rs. 1,90,000. It may also be pointed out here that, in the revised return for the first, year, the value of the movable assets was also revised and the deposit with Punjab Finance and Industries Ltd., Jullundur, was shown at Rs. 2,000 and the cash in hand at the same figure of Rs. 1,000. Simi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the value of the land in village Khurla was fully disclosed. Shri Sharma submitted that it was obvious that in the returns filed the value of the lands in the other three villages was not disclosed. But his contention was that this was an accidental omission by the assessee's step son or on the part of the assessee and there was no guilty intention of concealing the wealth. In support of the Bonofides, attention was invited to the proceedings before the WTO when on 5th May, 1972, Shri Gurbaksh Singh, the son of the assessee, attended and with him the question of valuation of the land was discussed by the WTO who also enquired the source of acquisition of the properties by the assessee. It was submitted that after that hearing on 5th August, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e for the assessee to conceal the source of acquisition of these lands, nor a property like agricultural lands could possibly be thought of as a proper asset for concealment. He also submitted that in the original returns even the value of movable assets had not been correctly shown and pointed out that whereas in the first year the deposit with Punjab Finance and Industries Ltd., Jullundur was only Rs. 2,000 it was shown at Rs. 11,000 and in the second year, the deposit was of Rs. 5,000 but still it was shown at Rs.11,000. Shri Sharma also raised a legal contention that the IAC was not justified in resorting to the explanation in s. 18(1) of the WT Act as the assessee's case clearly fell within the main provision and it was not a case of d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as well as the Explanation both were attracted, the IAC was justified in relying on both. 6. We have given our anxious thought to the rival contentions and feel that even without going into the legal contention raised by Shri Sharma, on the merits of the case, no penalties could be levied for the two years under appeal either under the main provisions of s. 18(1) or by pressing into service the explanation in that section. The whole case thus turns on the conduct of the assessee and whether she could be attributed any guilty intention or gross or wilful neglect. It is a clear case where in the original return filed for the asst. yr. 1970-71, the assessee's share in the agricultural lands in villages Nangal Shama, Bhojwal and Muzaffar pu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tention or the assessee would have been alike to the fact that the value of the agricultural lands in certain villages was not disclosed in the original returns, it would have been quite likely that the copy of the would not have been tendered before the WTO and that too suo moto through a counsel on 5th Aug.,1972. The will showed the position of the lands belonging to the assessee clearly. Thereafter nothing was done by the WTO for about a period of over two years and it was the assessee again, who filed the revised returns on 8th Oct.,1974 and thereafter the assessments were completed by the WTO on 2nd Nov.,1974. The matters remained unattended to on the part of the assessee after filing of the will in Aug.,1972 for a very long time and t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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