TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
When case Id is present, search is done only for this
of 
of 
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of of 
All Case Laws
of of All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of <h1>Assessment year 1975-76 penalty upheld; 1976-77 penalty canceled due to reasonable cause</h1> <h3>VMG RAJENDRAN VENDAYAR. Versus WEALTH TAX OFFICER.</h3> VMG RAJENDRAN VENDAYAR. Versus WEALTH TAX OFFICER. - TTJ 020, 317, Issues:Late filing of wealth tax returns leading to penalty imposition for assessment years 1975-76 and 1976-77.Analysis:The appeals involved common contentions and were disposed of by a common order due to the same assessee filing them. The wealth tax returns for the assessment years 1975-76 and 1976-77 were filed late on 1st June 1978, despite being due on 30th July 1975 and 30th July 1976, respectively. The delay was attributed to the negligence of the auditor by the assessee. The WTO initiated penalty proceedings under section 18(1)(a) of the Wealth Tax Act, 1957, and imposed penalties on the assessee for both assessment years.On appeal, the AAC found that the delay in filing the returns was not solely due to the auditor's negligence but also because the firm, in which the assessee was a partner, filed its income tax return late. The AAC condoned the delay for the period corresponding to the late filing of the firm's returns but did not condone the subsequent delay, holding the assessee responsible for not filing the wealth tax returns promptly. The AAC directed the computation of penalties for the respective periods.The Tribunal upheld the AAC's decision regarding the assessment year 1975-76, agreeing that the assessee had ample time to file the wealth tax return after the firm filed its income tax return. However, for the assessment year 1976-77, the Tribunal accepted the assessee's argument that the delay in filing the wealth tax return for that year was due to the late filing of the previous year's return. Consequently, the penalty for the assessment year 1976-77 was canceled.In conclusion, the appeal for the assessment year 1975-76 was dismissed, affirming the penalty imposition, while the appeal for the assessment year 1976-77 was allowed, canceling the penalty due to the reasonable cause of late filing being the previous year's return.
TaxTMI 