| Case ID |
099638b2-ea8b-4258-8b1c-065c66fc3ee9 |
| Body |
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| Case Number |
S.J.C. No. 188 OF 1974 |
| Decision Date |
Apr 05, 1976 |
| Hearing Date |
|
| Decision |
The Tribunal was not justified in cancelling the levy of penalty under section 271(1)(c) of the Income-tax Act, 1961 as being barred by limitation. The ruling established that the amendment to section 275, which extended the period of limitation for penalty proceedings, applied to cases pending on the date of the amendment. Therefore, the original penalty imposed was upheld, emphasizing that pending proceedings are governed by the new law, while the substantive aspects of penalty quantification remain unaffected by retrospective application. |
| Summary |
This case revolves around the interpretation of the Income-tax Act, 1961, particularly sections 271(1)(c) and 275, concerning the imposition of penalties for concealment of income. The Orissa High Court addressed the implications of an amendment that extended the limitation period for penalty proceedings. The Tribunal had initially cancelled the penalty imposed by the Inspecting Assistant Commissioner, citing it as barred by limitation. However, the High Court clarified that the procedural aspects of limitation are governed by the law in effect at the time of the decision, while the substantive aspects of penalty quantification are not subject to retrospective application. This ruling underscores the importance of understanding the interplay between procedural and substantive law, particularly in tax matters. The decision favored the revenue, reinforcing the principle that amendments to procedural law can affect pending cases, ensuring timely enforcement of tax regulations. |
| Court |
Orissa High Court
|
| Entities Involved |
Not available
|
| Judges |
R.N. Misra,
N.K. Das
|
| Lawyers |
A. Agarwalla
|
| Petitioners |
Commissioner of Income Tax
|
| Respondents |
Soubhagya Manjari Devi
|
| Citations |
1976 SLD 579,
(1976) 105 ITR 82
|
| Other Citations |
CGT v. C. Muthukumaraswamy Mudaliar [1975] 98 ITR 540 (Mad.),
CIT v. K.C. Behera [1976] 103 ITR 479 (Orissa),
CIT v. Bhan Singh Boota Singh [1974] 95 ITR 562 (Punj.),
CIT v. Bhikari Charan Panda [1976] 104 ITR 73 (Orissa),
CIT v. Data Ram Satpal [1975] 99 TIR 507 (All.),
CIT v. Dhadi Sahu [1976] 105 ITR 56 (Orissa),
CIT v. Ramchand Kundanlal Saraf [1975] 98 ITR 474 (MP),
Continental Commercial Corporation v. ITO [1975] 100 ITR 170 (Mad.)
|
| Laws Involved |
Income-tax Act, 1961
|
| Sections |
271(1)(c),
275
|