COMMISSIONER OF INCOME-TAX Vs. DEV RAJ

JUDGEMENT

(1.) THE short question that requires determination in this reference under Section 256 (1)of the Income-tax Act, 1961 (hereinafter referred to as "the Act") is whether the Tribunal was justified in law in holding that the assessee was not liable to penalty under Section 271 (1) (c) of the Act.

(2.) THE assessee carried on business as a commission agent and of dealings in foodgrains. For the assessment year 1968-69, the assessee returned an income of Rs. 15,883 as per profit and loss account. However, the Income-tax Officer assessed him on an income of Rs. 71,217, rounded off to Rs. 71,220. The difference between the returned and the assessed income arose because of the addition of the following items to the returned income : Rs. Household expenses 8,022 1. Salary 976 2. Income-tax 31. 330

(3.) WEALTH-TAX 8,255