AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
2014 (9) TMI 499
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....ically when the statutory obligation as regards furnishing of the 'AIR' information, as provided for under Section 285BA(1)(d) is only cast upon the 'Registrar' or 'Sub Registrar'? 2. Whether the Tribunal had erred in law by failing to appreciate that the delay in furnishing the requisite AIR information by the appellant which was initially prompted by bonafide ignorance as regards the 'Statutory obligation' under section 285BA(1) (i.e. a new statutory provision), which thereafter on appellant subsequently getting aware as regards the same, was further delayed due to 'multiple reasons' on the part of his office, i.e. poor infrastructure which was manned by negligible staff not savvy with computers, maintenance of voluminous records/information in Punjabi that had to be got translated in English, absolute absence of any professional guidance from the superiors or the departmental authorities of the State Government, outsourcing of the work of compiling the soft copies of the information, applying for TAN No. etc. which in itself suffered from administrative restrictions, strict procedures, approvals of superior authorities etc. as regards which the appellant had neither any say, no....
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....tration Act, 1908 was subjected to a statutory obligation of furnishing Annual Information Return (AIR) pertaining to purchase/sale deed exceeding an amount of 30 lacs so registered by him during a year. The said AIR was required to be furnished by the Registrar or the Sub Registrar with the appropriate authority in prescribed Form 61A of the Rules wherein part of the information was to be furnished on computer readable media while remaining part of the information was to be delivered in paper form. The appellant - Joint Sub Registrar, Sangat, District Bathinda who was working in a moffusil area of the district was not aware of any such statutory obligation by holding the office as that of Joint Sub Registrar. Show cause notice was issued to the appellant under section 271FA of the Act on 8.10.2010 and followed by reminder dated 15.11.2000 whereby he was called upon to explain as to why penalty under section 271FA of the Act be not imposed on him. The appellant put in appearance. On learning that AIR was to be e-filed, he immediately applied for TAN No. On 19.10.2010, on receipt of TAN No., the appellant uploaded the required information. Vide order dated 7.1.2011, Annexure A....
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....ty empowered to register motor vehicles under Chapter IV of the Motor Vehicles Act, 1988 (59 of 1988); or (f) the Post Master General as referred to in clause (j) of section 2 of the Indian Post Office Act, 1898 (6 of 1898); or (g) the Collector referred to in clause (c) of section 3 of the Land Acquisition Act, 1894 (1 of 1894); or (h) the recognised stock exchange referred to in clause (f) of section 2 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956); or (i) an officer of the Reserve Bank of India, constituted under section 3 of the Reserve Bank of India Act, 1934 (2 of 1934); or (j) a depository referred to in clause (e) of sub-section (1) of section 2 of the Depositories Act, 1996 (22 of 1996), who is responsible for registering, or, maintaining books of account or other document containing a record of any specified financial transaction, under any law for the time being in force, shall furnish an annual information return in respect of such specified financial transaction which is registered or recorded by him during any financial year beginning on or after the 1st day of April, 2004 and information relating to which is relevant and required for the purpose....
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.... annual information return within the time specified in the notice." 8. Sub section (1) provides that any person specified in clauses (a) to (j) therein who is responsible for registering or maintaining books of account or other documents containing a record of any specified financial transaction, under any law for the time being in force, shall furnish an annual information report in respect of such specified financial transaction to the prescribed income tax authority or such other authority or agency as may be prescribed. The return is required to be furnished relating to transactions which have been registered or recorded on or after Ist April 2004. Under sub section (2), the annual information return shall be furnished in the prescribed format and manner and also within the prescribed time after the end of the financial year. Sub section (3) defines the "specified financial transaction" to mean any transaction of purchase, sale or exchange of goods or property or right or interest in a property or transaction for rendering any service or transaction under a works contract or transaction by way of an investment made or expenditure incurred or a transaction for taking or accep....
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....t sub-section, the income-tax authority prescribed under the said sub-section may direct that such person shall pay, by way of penalty, a sum of one hundred rupees for every day during which the failure continues." The said section provides that where any person who is required to furnish the annual information return fails to furnish the same within the prescribed time, the prescribed income tax authority may direct that such person shall pay by way of penalty a sum of one hundred rupees for every day during which the failure continues. However, under Section 273B of the Income Tax Act, 1961, no penalty under Section 271AA of the Act would be imposed where assessee proves that there was reasonable cause for the failure. 11. Learned counsel for the assessee had argued the case of Sub Registrar, Bariwala, District Bathinda as a lead case before the Tribunal and pleaded that all other cases are similar and identical. However, in the case of Sub Registrar, Muktsar, an additional plea was raised to substantiate reasonable cause within the ambit of Section 273B of the Act. Thus, we proceed to examine cases of Sub Registrar, Bariwala and Muktsar in addition to case of Sub Registrar, Sa....
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....see in case annual information return is not filed for years together after insertion of the section by the Finance (No.2) Act 2003 w.e.f 1.4.2004 initially and thereafter by Finance (No.2) Act, 2004 w.e.f 1.4.2005 mentioned hereinabove. Whereas this is not a case, the words used by the statute in section 285BA(5) gives option for the income tax authority to serve notice which may or may not be served upon. The word 'may' used in section 285BA(5) clearly indicates the option for the income tax authority. It is not obligatory on the income tax authority to serve such notice. Therefore, interpretation has to be strictly construed. There is no ambiguity in the same. The courts cannot add or amend and by construction cannot make up the deficiencies in the Act. It is contrary to all rules of construction unless the provision as it stands is meaningless or having a doubtful meaning. We are not entitled to usurp legislative function disguise of interpretation. The courts are meant to interpret law, cannot legislate it. Our views find support from the judgment of Hon'ble Supreme Court in the case of Union of India and others v. Dharmendra Textiles Processors and others reported in (2008) 3....
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....has directed the CIT(CIB) to recompute the default w.e.f 1.12.2006 instead of 31.8.2006 for the assessment year 2006-07 and thereafter in the following years has rightly confirmed the default being the first advisory letter issued on 20.11.2006 in view of our findings hereinabove. 15.5 As regards the reasonable cause, as mentioned hereinabove, the learned CIT(A) has taken cognizance in the case of Patan Nagrik Sahakari Bank Limited vs. Director of Income Tax (supra) decided by the Hon'ble Gujarat High Court. But at the same time, we may refer that ignorance of law is not an excuse, as per our findings hereinabove and also as per decision of the Hon'ble Gujarat High Court in the case of Pattan Nagrik Sahakari Bank Limited (supra) and the Sub Registrar cannot be an exception to the law laid down by the Hon'ble Supreme Court mentioned hereinabove. It is settled law that ignorance of law is of no excuse, as decided by the Hon'ble Supreme Court in the case of Moti Lal Padampat Sugar Mills Co. Limited vs. State of Uttar Pradesh and others, reported in (1979) 118 ITR 326 (SC)." 13. A perusal of the above findings shows that inspite of having sent several letters to the a....
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....ly submitted before the Tribunal that the case of 'Sub Registrar' Bariwala, District Muktsar was being argued first and thereafter stated that the facts of all other appeals were identical and therefore, his submissions in that case may be applied in all other appeals as well. This fact is established from reading of following paras of the order of the Tribunal dated 30.5.2013:- "4. The learned counsel for the assessee Mr. P.N.Arora, advocate argued the appeals in the case of the Sub Registrar, Bariwala first and thereafter argued that since the facts in all other appeals are identical, his arguments shall be identical and be applied in all other appeals mentioned hereinabove." "18. As regards other appeals in ITA No.135 and 136(Asr)/ 2013 in the case of Sub Registrar, Doda, in ITA Nos.141 to 143 (Asr)/2013 in the case of Sub Registrar, Lakhewali, in ITA Nos.144 to 148 (Asr)/2013 in the case of Sub Registrar, Maur Mandi, in ITA Nos.229 to 232(Asr)/2013 in the case of Sub Registrar, Sangat, in ITA Nos.233 to 237(Asr)/2013 in the case of Sub Registrar, Lambi and in ITA Nos.238 to 241(Asr)/2013 in the case of Sub Registrar, Malout, in ITA Nos.242 to 246 (Asr)/2013 in the cas....