COMMISSIONER OF INCOME TAX Vs. ANANT ARJUN MADHAVI

JUDGEMENT

(1.) THE Tribunal has referred to this Court two questions as questions of law under S. 256(1) of the IT Act, 1961, in this reference. They read thus :

(2.) IT is common ground that the assessee had filed his return for the asst. year 1956 57 on August 15, 1956, declaring a total income of Rs. 5,300. The assessment was completed on Feburary 14, 1957, The total income was computed at Rs. 15,300. Subsequently, the assessment was reopened by issued of a notice under S. 147(a) dt. March 8, 1965. In response thereto, the assessee filed a return on March 18, 1969, disclosing Reassessment was, however, completed on a total income of Rs. 63,000.

(3.) THE Tribunal took the view that the provisions of S. 271(1)(c) as obtaining when the assessment was originally completed were applicable and that the minimum penalty imposable was thus not 100 per cent of the amount of concealment. Accordngly, while the Tribunal confirmed the finding of the IAC that the assessee had concealed his income, it directed that the quantum of penalty be reduced to the minimum penalty leviable under the law before its amendment in 1968.