BARNWAL ABHUSHAN KENDRA Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THIS petition under Article 226 of the Constitution has been filed by Barnwal Abhushan Kendra which is a registered firm doing business at Varanasi.

(2.) FOR the assessment year 1980-81, the petitioner did not submit the return within time. It was submitted by it voluntarily before initiation of the proceedings under Section 139(2) or 148 of the Income-tax Act. After imposition of interest and penalty, the petitioner applied for waiver of the same. This application has been rejected by the impugned order dated October 14, 1987. While rejecting the application, the Commissioner of Income-tax held that as the return was filed much beyond the assessment year in which this was due, that is, after the lapse of the period when the notice under Section 139(2) of the Act could have been issued, the penalty could not be waived. However, the Commissioner of Income-tax waived a part of the interest. Against the aforesaid order, the present writ petition has been filed.

(3.) TO us it appears that as a result whereof, the order of the Commissioner of Income-tax suffers from an error requiring us to interfere. He lost sight of the relevant provision. He did not have the relevant consideration while rejecting the application.