Bona fide delay in filing wealth-tax return defeats penalty where illness, age, and distance explain the default.

Penalty for delayed filing of a wealth-tax return is not justified where the assessee's explanation shows bona fide reasons beyond control. The delay was admitted, but the assessee was aged and ill, was residing away from the place where the return had to be prepared and filed, and had sought extension of time. Those circumstances negatived any wilful or wanton omission, so the explanation was treated as sufficient and the penalty was cancelled.

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Issues: Whether penalty under section 18(1)(a) of the Wealth-tax Act was leviable for delay in filing the wealth-tax return.

Analysis: The delay was admitted, but the explanation showed that the assessee was an aged and ill person, was residing away from the place where the return had to be prepared and filed, and had sought extension of time. The circumstances indicated that the default was not a wanton or wilful omission. The explanation was treated as sufficient to show that the delay occurred for reasons beyond the assessee's control and that the conduct was bona fide.

Conclusion: Penalty under section 18(1)(a) was not justified and was cancelled in favour of the assessee.

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