COMMISSIONER OF WEALTH TAX Vs. B IMRAN HUSSAIN

JUDGEMENT

(1.) IN all these tax cases the assessee is common. Common arguments were addressed and, therefore, these cases are disposed of by this common order Pursuant to the order of this court under section 27(3) of the Wealth tax Act, 1957, the Tribunal referred the following common question for our decision"Whether, on the facts and in the circumstances of the case, the Appellate Tribunal was right in holding and had valid materials to hold that the assessee's case does not warrant levy of penalty under section 18(1)(a) of the Wealth-tax Act, 1957?"* The brief facts leading to the reference are the following : The cases relate to the assessment years 1963-64 to 1969-70. On March 30, 1967, the assessee's representative wrote a letter to the Wealth-tax Officer informing him that the wealth-tax returns for the assessment years 1962-63 to 1966-67 were due and that it would take some time for them to finalise the return. IN the meanwhile, a sum of Rs. 4, 500 was paid towards probable wealth-tax payable for the assessment years 1962-63 to 1966-67.

(2.) THEREAFTER nothing happened. While so, on January 5, 1971, the Wealth-tax Officer issued a notice under section 17 of the Act calling upon the assessee to file returns of wealth. In response to that the assessee furnished the returns on March 31, 1971. As there was a delay in the submission of the returns, the Wealth-tax Officer initiated penalty proceedings under section 18(1)(a) of the Act and called upon the assessee to show cause why penalties should not be imposed.

(3.) THE assessee will be entitled to the costs of this reference. Counsel's fee Rs. 500. One set.