SURESHCHAND GUPTA Vs. UNION OF INDIA

JUDGEMENT

(1.) BY this application under Section 482 of the Criminal Procedure Code, 1973, the applicant seeks quashment of the order dated February 9, 1993, of A. C. J. M., Indore, as also the criminal prosecution launched against him under Sections 276C and 277 of the Income-tax Act, 1961 (for short "the Act").

(2.) THE brief facts of the case are these. THE applicant-assessee furnished a return for the assessment year 1985-86 on March 10, 1986, declaring his income as Rs. 13,850. THE Income-tax Officer then issued a letter on July 16, 1986, to furnish details of the expenses claimed at Rs. 36,023 on truck. THE assessee then furnished a revised return on February 26, 1988, showing the income of Rs. 49,880 and surrendered the expenses claimed earlier. THE assessment was completed on January 16, 1989. Penalty proceedings under Section 271(1)(c) of the Act were initiated. THE assessee filed objections. After consideration of the same, the Income-tax Officer levied penalty of Rs. 15,000. This order was confirmed by the Commissioner of Income-tax (Appeals). THE assessee then filed an appeal before the Tribunal. THE Tribunal deleted the penalty holding that there is no concealment. THE Department filed an application under Section 256(1) of the Act which was also rejected by the Tribunal. THE Department moved this court under Section 256(2) of the Act for a direction to the Tribunal to make a reference. This court, vide its order dated April 2, 1996, rejected the application observing "no case of conscious concealment is visible".

(3.) THE point projected in this case stands resolved by a Supreme Court decision in the case of G. L. Didwania v. ITO [1997] 224 ITR 687 wherein the apex court under the similar circumstances held as under (page 690):