AGRICULTURAL INCOME TAX OFFICER Vs. MANGODE ESTATE

JUDGEMENT

(1.) THE challenge in the writ petition was to the imposition of penalty under Section 17A(3) of the Kerala Agricultural Income-tax Act, 1950 ("the Act"), for non-payment, along with the return of tax admittedly due for the assessment year 1981-82. THE learned single judge allowed the writ petition, following the decisions of two learned single judges of this court in Samogiri (P.) Ltd. v. Agrl. ITO [1990] 181 ITR 532 ; [1989] 2 KLT 770 and Velimalai Rubber Co. Ltd. v. I. A. C. of Agrl. I. T. and S. T. [1991] 190 ITR 385 ; [1991] 1 KLT 275. THE Revenue is in appeal before us.

(2.) THE return for the year was due on June 1, 1981, but the assessee filed it only on March 22, 1982. He had admitted a tax liability of Rs. 1,05,983 in the return. This amount was paid before the return was filed, though after June 1, 1981, when the return was due. In the view that the admitted tax had to be paid before the due date for filing the return, and that non-payment thereof in time attracts the provisions of Section 17A(3), the assessing authority imposed a penalty of Rs. 21,197 under the said provision by the proceedings, exhibit P-1. THE assessee challenged it with the plea that Section 17A(3) is attracted only if there is default in payment of the admitted tax before or along with the return and that mere delay in paying the admitted tax before the due date for filing the return, namely, June 1 of the relevant assessment year, will not entail the penalty under the said provision. This was accepted by the learned single judge, as we stated earlier, relying on the two decisions referred to.

(3.) WE are, therefore, in agreement with the ratio of the above two decisions. There is no reason to take a different view having regard to the language of Section 17A(3). The decision of the learned single judge is, therefore, correct. The writ appeal entails dismissal. It is accordingly, dismissed.