MANSUKHLAL PITALIA Vs. PRINCIPAL COMMISSIONER OF INDOME TAX

JUDGEMENT

(1.) The petitioner before this Court has filed this present writ petition being aggrieved by the order dated 04.12.2018 passed by the Principal Commissioner of Income Tax, Ujjain under section 220 (2) of the Income Tax Act, 1961.

(2.) The facts of the case reveal that a search was carried out by the income tax authorities under section 132 of the Income Tax Act, 1961 on 26-27.06.2002 at the petitioner's premises and during the search certain papers, diaries, Hundis were found in possession of the petitioner. They were seized by the income tax authorities. The Assessing Officer issued a notice under section 158BC of the Income Tax Act, 1961 to the petitioner to file return of income for the block period 01.04.1996 to 26.06.2002.

(3.) The petitioner has filed return disclosing the undisclosed income of Rs. 49,68,000/-and the tax payable thereon, was worked out to Rs. 30,40,416/-. An assessment order was passed on 17.06.2004 assessing income the income of the petitioner at Rs. 3,26,52,820/- and the tax was determined to be payable at Rs. 2,02,33,320/-. The petitioner's grievance is that assessing authority has calculated the interest at Rs. 33,31,465 under section 220 (2) of the Income Tax Act, 1961 and a demand has been issued for Rs. 37,90,835/-.