COMMISSIONER OF INCOME TAX Vs. ABDUL GANI BHAT

JUDGEMENT

(1.) THIS is a reference under section 27(1) of the Wealth Tax Act, 1957 (erroneously numbered as Income-tax Reference). By this reference, the Income-tax Appellate Tribunal ("Tribunal") has referred the following questions of law to this court for opinion at the instance of the revenue :

(2.) NONE appears for the assessee. Mr. Anil Bhan, Advocate, appears for the revenue.

(3.) THE controversy in question No.2 is also covered by the decision of this Court in CWT v. Jawaharlal Mehra (Supra) where it has been held that the scope and ambit of an appeal against an order of penalty is confined to the levy of penalty. In such an appeal, the validity of the assessment order, which has attained finality, cannot be challenged. THE Tribunal cannot consider the challenge to the validity of the assessment order, which has become final and conclusive, in an appeal against the order of the Appellate Assistant Commissioner passed on an appeal against an order of penalty under clause (d) of section 23(1) of the Wealth- tax Act. In view of the above, question No. 2 is also answered in the negative, i.e., in favour of the revenue and against the assessee.