Concealment penalty depends on the law in force when the original return was filed, not a later revised return.

Penalty for concealment under section 271(1)(c) is determined by reference to the date when the original return was filed, because the wrongful act is complete at that point and the governing law is the law then in force. A return filed later in response to notice under section 148 does not shift the relevant date for applying the penalty provision. Accordingly, the amended law effective from 1 April 1968 was inapplicable where the original return preceded that date, and penalty had to be considered under the earlier law.

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Issues: Whether concealment of income for the purpose of penalty under section 271(1)(c) of the Income-tax Act, 1961 is to be determined with reference to the date of the original return or the date of the return filed in response to notice under section 148, and whether the applicable law is that in force on the date of the original return.

Analysis: The reference turned on the principle that penalty is attracted by the commission of the wrongful act, and the governing law is the law in force when that act is committed. On that basis, concealment is treated as occurring when the original return is filed, not when a subsequent return is furnished pursuant to notice under section 148. The amended law effective from 1 April 1968 therefore does not govern where the original return preceded that date.

Conclusion: The question was answered in the affirmative and against the Revenue. The Tribunal was held to be right in applying the law as it stood on the date of the original return and in directing penalty to be imposed accordingly.

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