RAMESHCHANDRA MANNALAL Vs. COMMISSIONER OF WEALTH TAX

JUDGEMENT

(1.) THE applicant/assessee has filed this application seeking direction to the Income-tax Tribunal, Indore, to refer the following questions of law to be answered by this court in connection with order dated April 24, 1987, passed in Appeal No. 10/(Ind) of 1986 ;

(2.) THE Wealth-tax Officer assessed both the Hindu undivided family as also individual, i.e., the applicant, Rameshchandra Agarwal, karta, of the family in his individual assessment on the basis of the above disclosure. THE Wealth-tax Officer subsequently noticed that the above disclosure was not correct and on correct accounting it was found that the balance to the credit of the Hindu undivided family should have been Rs. 76,752 in place of Rs. 61,352. Thus, a short disclosure of Rs. 15,400 was noticed by him. THE Wealth-tax Officer, therefore, issued notice under Section 17 of the Wealth-tax Act to the Hindu undivided family-assessee requiring them to file a return. THE applicant/assessee filed its return in response to the said notice, on February 17, 1982, declaring net wealth at Rs. 2,62,787. THE Wealth-tax Officer completed the reassessment of the Hindu undivided family determining the total wealth at Rs. 2,78,187. THE Wealth-tax Officer also initiated proceedings for the levy of penalty under Section 18(1)(c) of the Wealth-tax Act, and levied penalty of Rs. 16,000 for the reasons stated by him in the order of penalty (annexure "A-2").

(3.) NONE appeared for the applicant/assessee. Shri D.D. Vyas, learned counsel for the Department. He is heard.