KRISHNA NAND Vs. COMMISSIONER OF WEALTH TAX

JUDGEMENT

(1.) THE applicant -HUF filed returns under the W.T. Act for the years 1965 -66 to 1973 -74 on July 8, 1974. The net wealth returns were accepted by an assessment order dated July 27, 1974. The WTO, Kanpur, after accepting the returns, assessed the wealth -tax. The tax demanded was paid in due course,

(2.) THE WTO under Section 18(1)(a) of the W.T. Act can impose penalties for the delayed filing of returns. After hearing the assessee, he imposed penalties for various years as follows :

(3.) THE learned counsel for the petitioner submitted that phrases 'good faith' and 'true and full disclosure' occurring in Section 18B of the W.T. Act, on a proper construction, implied that the conduct of the assessee in so far as it was relevant for the assessments, for the years for which the returns were filed, alone was capable of being considered. His conduct in relation to the previous assessment years was neither material nor can it be taken notice of. The Commissioner was hence in error in considering the fact that the assessee had not filed his returns for the assessment years prior to 1965 -66.