1982 (9) TMI 140

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.... asst. yrs. 1966-67 & 1967-68 as per s. 274(2) of the IT Act, 1961, as it stood on 15th Sept., 1967 and 27th April., 1968 respectively, on which dates the original returns were filed for the assessment years, cited above, and in respect of which penalties were levied for concealment of income under s. 271(1)(C) of the IT Act, 1961 in the sums of Rs. 30,000 and Rs. 7,000 respectively. 2. The ld. D....

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.... The ld. Rep. also referred us to the ruling of the Madras High Court in the case of Continental Commercial Corpn. vs. ITO (1975) 100 ITR 170 (Mad). 3. We have considered the rival submissions. The only point that arises for decision in these appeals is whether after the amendment of s. 274(2) of the IT Act, 1961, the penalties of Rs. 30,000 and Rs. 7,000 levied by the ITO under s. 271(1)(C) of t....

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....ity is a proceeding which, for that purpose, is governed by entirely different considerations from a proceeding for penalty imposed for concealment of income. And this is so notwithstanding that the income concealed is the income assessed to tax. In the case of the assessment of income and the determination of the consequent tax liability, the relevant law is the law which rules during the assessm....

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....ubstantive part of penalty proceedings and not to the procedural part thereof. We are unable to find any support for this submission from the above judgment of the Supreme Court. On the other hand, there is a direct decision of the Madras High Court in the case of Continental Commercial Corpn. (1975) 100 ITR 170 (Mad) which runs counter to the above contentions raised by the Revenue. In the above ....