Yad Ram Meena, J. - (1.) By this petition the petitioner has prayed that the . respondents be directed to quash the interest levied for delayed payment of tax. The petitioner is a religious charitable trust created by the late Banku Behari Shaw in the year 1925. By an application, annexure A, the peti tioner prayed for waiver of interest levied under Section 31(2) of the Wealth-tax Act, 1957. The prayer of the petitioner was rejected by the Commissioner vide impugned order, annexure F on the ground that the insertion of Sub-section (2A) has no retrospective effect in view of the deci sion reported in the case of Saurashtra Agencies Pvt. Ltd. v. Union of India.
(2.) Counsel for the petitioner submits that the amendment in Section 31 by the insertion of Sub-section (2A) has retrospective effect and the assessment years for which the interest has been charged are covered by this amendment. Therefore, interest may be waived. Counsel for the respondent submits that whether the amendment by the insertion of Sub-section (2A) in Section 31 has retrospective effect or not has been considered by this court in a judgment referred to above and the view has been taken that the amendment has no retrospective effect. He further brought to my notice, the relevant portion of [1984] 149 ITR (St.) 70, wherein the intention of the Legislature was clarified stating that this amendment in Section 31 shall take effect from October 1, 1984.
(3.) Before giving any direction to the Commissioner for waiver of interest, the petitioner has to satisfy that the amendment by the insertion of Subsection (2A) has retrospective effect and, secondly, the conditions under Sub-section (2A) for waiver of interest have been satisfied. Sub-section (2A) of Section 31 of the Wealth-tax Act, 1957, reads as under : "(2A) Notwithstanding anything contained in Sub-section (2), the Chief Commissioner or Commissioner may reduce or waive the amount of interest paid or payable by an assessee under the said Sub-section if he is satisfied that- (i) payment of such amount has caused or would cause genuine hardship to the assessee ; (ii) default in the payment of the amount on which interest has been paid or was payable under the said Sub-section was due to circumstances beyond the control of the assessee ; and (iii) the assessee has co-operated in any inquiry relating to the assessment or any proceeding for the recovery of any amount due from him.";