MOHD UMAR & CO Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) PETITIONER -firm which was engaged during 1970 -71 for the execution of contract work was also doing the transport business, and filed its return for the said year on January 27, 1974, and was assessed to an income of Rs.61,940/ -, The Assessing Authority income Tax Officer B, Ward, Jammu found that the assesses failed to submit the return and true accounts within the time prescribed and therefore allowing the extension of about four months imposed the penalty for late filing of return to the tune of Rs. 5225/ - by his order under section 271 (i) (a) of the Income Tax Act, 1961, (for short hereinafter called the Act). After the said order, on an -application of" the petitioner the commissioner of Income Tax Amritsar by his order dated October 9, 1975. rejected the prayer of the petitioner for condonation of delay and condoning the penalty under section 271 (4 -A) of the Act. The petitioner being aggrieved against the said order filed this petition.

(2.) FOR short the main contention of the learned counsel for the petitioner is mainly based on the ground that the learned commissioner of Income Tax failed to exercise jurisdiction vested in him on wrong interpretation of law and thus the order is liable to be quashed. It is submitted that the order has been passed under the impression that the provisions of selection 271 (4 -A) of the Act is attracted for the new assessee only and not for those who are the old assessees. This is reflected by the order itself, and. therefore. it is submitted that the order deserves to be quashed in this petition.

(3.) ON the point in controversy is the para -meteria provision of Wealth Tax Act. 1957. learned counsel for the petitioner placed reliance on reported decision of this court in the case of Sh. Ghulam Mohd. Sheikh Vs. Commissioner of Wealth Tax reported in 1976 Tax Gazette Vol. 6 page 26, It is pointed out that the said authority applies with full force in the instant case as the provisions of section 271 (4 -A) of the Act is equally applicable to the old assessees and not confined to give the benefit to new assessees only. It is also declared at the bar that after the decision of this court the benefit is given in the subsequent years to all the assesses alike.