CHANDURAM VARIALDAS MANWANI Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) The petitioner has challenged the order dated 21/10/1993 passed by the Commissioner, Income Tax Vidarbha Region, Nagpur, whereby the interest under Section 139 (8) and penalty under Section 217 of the Income Tax Act (for short 'Act') for the assessment year 1985-86 to 1988-89 have been retained though prayed for waiving the same. Therefore, the present petition.

(2.) The petitioner is an agriculturist and also running a petty Kirana shop at village Paras, Tq.Balapur, Distt.Akola. He has also income from the interest. The petitioner without any notice in good faith and voluntarily submitted returns for the assessment year 1985-86 to 1987-88. The petitioner disclosed full and true state of his income in the returns. He paid the income tax accordingly. He cooperated with the income tax department. His returns were duly accepted and there was no tax found due against him. The petitioner was regularly paying the income tax.

(3.) Respondent no.2, however, imposed tax on petitioner under Section 139(8) and Penalty under Section 271 (1)(a) of the Income Tax Act (for short 'Act') for late submission of returns. Respondent no.2 also imposed interest on the petitioner for nonpayment of advance tax under Section 217(1)(b) and penalty under Section 273(2)(b) of the Act. The petitioner, therefore, moved one application under Section 273A of the Act for waiver of interest and penalty referred to above on 20/5/1988. After hearing, the impugned order dated 21/10/1993 which was communicated to the petitioner on 12/11/1993 was passed on the ground that no explicit reasons were forthcoming for late submission of the returns of income in the years in question.