HANDA R P Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) THIS order will dispose of Civil Writ Petitions Nos. 10468, 12796, 12797, 12802 and 13399 of 1990, the facts involved being similar in all the cases. Reference to the facts shall be made from Civil Writ Petition No. 10468 of 1990.

(2.) THE matter here concerns the reduction or waiver of interest and penalty under Section 273A for the assessment years 1979-80 to 1985-86 imposed or imposable under Section 271(1)(c)(iii) of the Income-tax Act, 1961 (for short called "the Act").

(3.) A request to the Board for reconsideration of the matter was made by the assessee through his counsel, vide annexure I-6, for affording an opportunity to explain the circumstances. The Board, on its part, sought specific and comprehensive comments from the Chief Commissioner on the representation of the assessee for reconsideration of the matter. The Chief Commissioner who earlier made recommendation had been changed and, therefore, the successor made a detailed and comprehensive report, running into 14 pages, annexure P-7, stating, inter alia, that the disclosure cannot be said to be full and true, but added that the case comes within the ambit of Explanation 2 to Section 273A of the Act and ultimately recommended that penalty under Section 271(1)(c) of the Act be reduced by 70 per cent. On further clarification being sought on the observations of the Chairman, Central Board of Direct Taxes, the then Chief Commissioner wrote back, vide letter, annexure P-9, that it was not a case where a full and true disclosure had been made. No recommendation was made this time about penalty being either waived or reduced as was done by the earlier Chief Commissioners. The Board thereafter rejected the review petition of the assessee on the ground that the disclosure made by the assessee was not full and true. The order was conveyed, vide letter annexure P-11.