COMMISSIONER OF INCOME TAX Vs. GOVINDRAM AND COMPANY

JUDGEMENT

(1.) THIS is a reference under section 256(1) of the Income -tax Act, 1961, made at the instance of the Revenue. It raises the following question :

(2.) MR . Jetly, learned counsel for the Revenue, relied upon the judgments of this court in CIT v. Janata Trading Co. : [1984]150ITR676(Bom) and CIT v. N. G. K. Electrical Industries : [1987]163ITR513(Bom) , in support of the submission that such penalty was exigible.

(3.) RELYING , principally, upon the judgment of the Calcutta High Court in CIT v. Priya Gopal Bishoyee : [1981]127ITR778(Cal) , the questions were answered in the negative and in favour of the Revenue.