1978 (7) TMI 104

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....the assessee's case on the ground that the Inspecting Assistant Commissioner had no jurisdiction to levy penalty after October 23, 1971 ? " The assessee is the firm of M/s. M. Nagappa, Bangalore, and the assessment years are 1965-66, 1966-67 and 1967-68. The Income-tax Officer completed the assessment proceedings in respect of the three assessment years in question on October 23, 1969, and in the course of the said assessment proceedings he also initiated action for levying penalty under section 271(1)(c) of the Act. As the minimum penalty imposable in each of the above cases was in excess of Rs. 1,000, he referred the cases to the concerned Inspecting Assistant Commissioner of Income-tax. After hearing the assessee, the Inspecting Assist....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....before the expiry of two years from October 23, 1969, section 275 was substituted by a new section. The relevant part of the new section 275 reads thus : " 275. No order imposing a penalty under this Chapter shall be passed-- (a) in a case where the relevant assessment or other order is the subject-matter of an appeal to the Appellate Assistant Commissioner under section 246 or an appeal to the Appellate Tribunal under sub-section (2) of section 253, after the expiration of a period of-- (i) two years from the end of the financial year in which the proceedings, in the course of which action for imposition of penalty has been initiated, are completed, or (ii) six months from the end of the month in which the order of the Appellate Assist....