COMMISSIONER OF WEALTH TAX Vs. KEDAR NATH JINDAL

JUDGEMENT

(1.) IN compliance with the direction of this Court, the IT Appellate Tribunal, Delhi Bench "D", Delhi, hereafter referred to as "the Tribunal" has referred the following question for the opinion of this Court under S. 27(3) of the WT Act :

(2.) THE reference relates to the asst. yrs. 1966-67, 1967-68 and 1968-69. The assessee, an individual, should have filed the return of wealth tax for these years by 30th June, 1966, 30th June, 1967 and 30th June, 1968, respectively. He however, filed the returns for these years on 1st Nov., 1974. The WTO initiated proceedings under S. 18(1)(a) of the Act and after considering the explanation of the assessee levied penalty in sums of Rs. 39,100 Rs. 71,016, and Rs. 38,152 for the aforesaid three years, respectively. It may be mentioned that the penalty was worked out at the rate of 0.5 per cent of the net wealth for every month constituting the period of delay beginning from the due date till the date on which the return was filed for these years.

(3.) THE Department filed appeal from that decision before the Tribunal. The Tribunal agreed with the view taken by the AAC and confirmed his orders. Now, at the instance of the Department, the question mentioned above has been referred to this Court.