COMMISSIONER OF INCOME TAX Vs. TIKAM CHAND AGARWAL

JUDGEMENT

(1.) THIS reference relates to the assessment years 1964-65 and 1967-68. The two questions referred for our opinion are in respect of these years. In substance, the question is whether interest is payable for late filing of the return in spite of service of notice under Section 139(2) of the Act and without application for extension of time and without any order by the ITO extending the time for filing the return. For the assessment year 1964-65, the return was to be filed till September 30, 1964. A notice under Section 139(2) of the Act was served on the assessee on June 1, 1964, calling for a return on or before July 1, 1964. The assessee, however, filed the return on May 21, 1965.

(2.) FOR the assessment year 1967-68, a notice under Section 139(2) calling for a return to be filed on or before October 3, 1967, was issued on September 4, 1967. The assessee, however, filed the return on February 15, 1969. In both these years, the assessee did not apply to the ITO for extension of time either under Section 139(1) or (2) of the Act.

(3.) THE Gauhati High Court has in Shankarlall Goenka v. ITO (since reported in [1979] 119 ITR 229) also taken the same view, though by majority.