1987 (6) TMI 94

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.... determine the issues before us finally and are constrained to set aside the orders of the ld. CIT(A) with the directions to him to dispose of the appeals de novo in accordance with law for the following reasons. 2. Insofar as penalty u/s. 271(1)(a) of the Act is concerned, the impugned order of the IAC (A) records the facts ut infra. The return of income for the year under appeal was due on or before31-7-1979u/s. 139(1) of the Act. However, no return was filed by that date. The assessing officer records that the assessee asked for extension of time and time was allowed up toSeptember 30, 1979. Thereafter, since no return was filed the assessing officer issued a notice u/s. 139(2) on16-10-1979and served it upon the assessee on17-10-1979c....

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....assessee filed revised estimate on16-3-1979estimating total income at Rs. 75 lakhs and considering the tax already paid, the balance was paid in two instalments of Rs. 13 lakhs and Rs. 13,25,000 respectively on16-3-79and29-3-79. Thus, the total advance tax paid by the assessee was Rs. 47,50,000. 4. The assessment was completed on 31-3-83 on a total income of Rs. 95,40,700 and the assessing officer issued a notice to show cause why penalty need not be levied, " for failure to submit the estimate on or before 15-3-79 as per requirement of section 209A(4) " of the Act. In the meantime, on10-1-84the assessment was revised u/s. 251 and the total income was determined at Rs. 71,20,120 of which tax payable came to Rs. 44,85,675. However the ass....

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.... ld. counsel for the assessee made a choice of not putting on our record any paper by way of paper book. Therefore, the position, that emerged was we have to send the matters back to the CIT(A) for fresh disposal. It is very important to note that the IAC (A) when he levied penalty u/s. 271(1)(a) amounting to Rs. 7,15,680 did not indicate the quantum of tax that he had taken into consideration as due from the assessee and on the basis of which the sum of Rs. 7,15,680 as penalty imposable was arrived at. This was very important for consideration by the ld. CIT(A) as before him it was clear that estimate of advance tax made on16-3-79was because15-3-79was a holiday. If the estimate filed on 16-3-1979 was to be taken as estimate filed in accord....