K L JAISWAL Vs. WEALTH TAX OFFICER

JUDGEMENT

(1.) THE petitioner is a PWD contractor at Ambikapur and challenged in this petition dismissal of his application under s. 18B(4) of the WT Act, 1957 for waiver of penalty amounting to Rs. 16,880. THE penalty was imposed under s. 18(1)(a) of the WT Act, 1957 of Rs. 16,880 over the petitioner for delay in filing return. After the imposition of penalty the petitioner moved an application under s. 18B(4) of the WT Act contending therein that on assessed tax of only Rs. 500, the penalty has been levied of Rs. 16,880 for delay in filing of the return. Levy of penalty is not in consonance with the default committed by the petitioner and the assessment of the wealth-tax, the petitioner further stated that in fact the return has been submitted by him during the period, however, on account of some mistake, the office has not put the correct date of the filing of the return. Looking to the circumstances and the quantum of tax the penalty is very heavy and the recovery of the same will result in genuine hardship to the petitioner. THE CWT by his order dt. 19th Jan., 1984 (Annexure `D') has rejected an application filed by the petitioner under s. 18B(4) of the WT Act, 1957 on the ground that the assessee had already paid the penalty demanded and he has not produced any documentary evidence to support his claim that the petitioner's financial position was not sound and thus there is no genuine hardship to the assessee having regard to the circumstances of the case.

(2.) THE petitioner has moved an application under s. 18B(4) of the WT Act, 1957. Sub-s. (4) of s. 18B reads as under :