G M BENIFICIARY TRUST Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) Rule. The learned counsel appearing for the respondents waives service of rule for the respondents and the matter is taken up for final disposal at the instance of both the sides.

(2.) The petitioner seeks to challenge the order dated 29.3.1995 at Annexure-H to the petition passed by the CIT Gujarat-I rejecting the waiver petition of the assessee made for the year 1983-84.

(3.) The petitioner had made the waiver petition under Sec. 273-A of the said Act on 10.7.1991 seeking waiver of interest under Secs. 139(8), 215/217 and penalties under Secs. 271(l)(a) and 273 of the said Act for the assessment years 1983-84 and 1987-88. As regards the assessment year 1987-88 the CIT reduced 50% of the interest charged under Sec. 139(8) and under Sec. 215/217 of the Act. However, as regards the assessment year 1983-84, the CIT observed that no satisfactory explanation for commitment of defaults was offered by the assessee who has appealed against the orders made against it. It was observed that for the said assessment year 1983-84, the assessee had not made full and true disclosure of its income and hence the assessing officer has also levied penalty under Sec. 271(1)(c) of the Act against which order the assessee had preferred an appeal before the CIT (Appeals) which was pending. On this basis it was held that it cannot be said that the assessee had fulfilled the conditions for waiver of interest and penalties lived for the assessment year 1983-84.