Court : Mumbai
Reported in : [1971]81ITR258(Bom)
..... contentions raised on behalf of the assessee are principally based on the construction which has to be put on these two sections, 271(1)(c) and 274(1), and the scheme of chapter xxi, which speaks of penalties imposable under the income-tax act, 1961. 15. ..... the contention of the assessee appears to be that, on a proper construction of the provisions of section 271 as well as section 274 of the income-tax act, 1961, the income-tax officer would lose all jurisdiction to issue a notice under section 274(1) the moment the income-tax officer found that the penalty liable to be imposed in this case would be in excess of rs. ..... careful perusal of section 271(1) of the income-tax act, 1961, will show that the condition precedent for imposition of a penalty under the act is a satisfaction that a person has concealed the particulars of his income or deliberately furnished inaccurate particulars of such income. ..... accordingly, the income-tax officer issued the notice under section 271(1)(c) of the income-tax act, 1961, to show cause why the penalty should not be ..... page 745 their lordships have observed as follows : 'counsel contended that, in any event, penalty for the assessment year 1949-50 could not be imposed upon the assessee-firm because there was no evidence that the income-tax officer was satisfied in the course of any assessment proceedings under the income-tax act that the firm had concealed the particulars of its income or had deliberately furnished inaccurate particulars of the income. .....
Tag this Judgment!Court : Kerala
Reported in : [1976]103ITR149(Ker)
..... section 271 of the income-tax act, 1961, occurs in chapter xxi, entitled : 'penalties imposable', the material part of the section reads :'271. ..... the question that was considered by the tribunal was whether the imposition of penalty under section 271(1)(a) of the income-tax act, 1961, on the assessee in relation to the assessment for the three years 1965-66, 1966-67 and 1967-68 was justified or not. ..... anwar ali, : [1970]76itr696(sc) their lordships of the supreme court in considering the nature of the proceedings under section 28 of the indian income-tax act, 1922, which corresponds to section 271 of the income-tax act, 1961 observed: 'the first point which falls for determination is whether the imposition of penalty is in the nature of a penal provision. ..... (ii) whether, on the facts and in the circumstances of the case, the tribunal is justified in law in cancelling the penalties levied under section 271(1)(a) of the income-tax act, 1961, for the assessment years1965-66 and 1966-67?'. 3. ..... 's case, noticed earlier, the division bench of this court observed:'the words 'has without reasonable cause failed to furnish it within the time allowed' in section 271(1)(a) of the income-tax act, 1961, show that mens rea is an ingredient to be proved by the department before the imposition of penalty. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Patna
Reported in : (1996)56ITD33(Pat.)
..... that the present section 276 of the income-tax act, 1961, may be deleted from chapter xxii dealing with 'offences and prosecutions' and may be incorporated with suitable amendments in chapter xxi of the income-tax act, 1961, dealing with 'penalties imposable'. ..... was considered by the direct taxes enquiry committee, commonly known as wanchoo commission, and a recommendation was made to delete the then section 276 and incorporate it in chapter xxi of the income-tax act, 1961, dealing with "penalties imposable". ..... it is stated in the penalty order that the person responsible to deduct tax at source, failed to comply with the provisions of section 206 of the income-tax act, 1961, inasmuch as no return was filed in ..... section 272a(2)(c) of the income-tax act, 1961, as against a penalty of rs. ..... every day during which the default continued under section 276b of the act under "chapter xxii offences and prosecutions" of the income-tax act, 1961. ..... connection, we also considered the provisions of section 276 of the income-tax act, 1961, which prescribes only monetary fines for the offences specified therein. ..... (2) of section 131 already empowers an income-tax officer to impose penalty, though the word used there by oversight is 'fine' and not 'penalty'.11. ..... has been made before us that provisions corresponding to some of the relevant sections of the indian penal code should be incorporated in the income-tax law itself so that the income-tax act is made comprehensive enough to deal with such offences.... .....
Tag this Judgment!Court : Chennai
Reported in : [1973]87ITR163(Mad)
..... section 297 speaking about repeals and savings and providing for repeal of the old act, states that notwithstanding the repeal of the old act, any proceeding for the imposition of a penalty in respect of any assessment for the year ending on the 31st day of march, 1962, or any earlier year which is completed on or after the 1st day of april, 1962, may be initiated and any such penalty may be imposed under the income-tax act, 1961 [section 297(2)(g)]. ..... section 271 appearing in chapter xxi, which deals with penalties imposable, provides for the imposition of penalty in the case of failure to furnish returns, comply with notices, concealment of income, etc. ..... but, if once, it is clear from the scheme of the new act and its working that the penalty sought to be imposed under section 297(2)(g) read with section 271 of the act is a penalty imposable by the revenue in exercise of its power derived from the express statutory provisions made for the purpose and in the interests of public revenue, then it ceases to be a penalty imposed on the delinquent as if he has been charged for an offence under one or the other provisions in chapter xxii of the new act.7. ..... ' for the above reasons the petitioner submits that section 297(2(f) and (g) read with the penalty provisions in chapter xxi of the new act are violative of article 20(1) of the constitution of india. .....
Tag this Judgment!Court : Gujarat
Reported in : [1977]107ITR214(Guj)
..... in view of these clear pronouncements of the supreme court, there is no doubt whatsoever that though penalty contemplated by section 271(1)(a) and other sections in chapter xxi of the income-tax act, 1961, can be imposed by income-tax officers as distinguished from regular criminal courts, the penalty proceedings before the income-tax authorities are quasi-criminal proceedings and they provide for offences which can be dealt with by the departmental authorities. 13. ..... delivered the majority decision, observed (page 581 : 'the income-tax act, 1961, imposes penalty under section 270 and 271. ..... the order of reference makes it clear that it was in the context of section 271(1)(a) of the income-tax act, 1961, that this question arose before the division bench and, therefore, in order to answer correctly the question that has been canvassed before us, we reframe the question as follow : 'when section 271(1)(a) of the income-tax act, 1961, provides for sanction of penalty in order to enforce compliance with a particular provision of the act and the section requires that non-performance of the obligation without reasonable ..... income-tax officer : [1961]41itr425(sc) the supreme court had observed that penalty was an additional tax and that the penalty imposed under the income-tax act was merely an additional tax imposed in certain circumstances on account of the assessee's conduct. .....
Tag this Judgment!Court : Chennai
Reported in : [1982]50STC141(Mad)
..... the learned counsel for the petitioner says that whenever a penalty is sought to be levied a prior opportunity to the assessee to object the levy of penalty should be provided in the statute as has been done in section 274(1) of the income-tax act, 1961, which says that no order imposing a penalty under chapter xxi shall be made unless the assessee has been heard, or has been given a reasonable opportunity of ..... chapter xxi of the income-tax act provides for levy of penalty, for failure to furnish returns, failure to comply with notices, concealment of income, failure to answer questions, failure to keep, maintain or retain books of account ..... of the revised return, the first respondent passed an order dated 31st august, 1981, under section 24(3) of the tamil nadu general sales tax act stating that the petitioner should have paid the amount of tax for december, 1977, on or before 25th january, 1978, and since the payment has been delayed from 25th january, 1978 to 28th july, 1981, the petitioner has to pay a penalty of rs. ..... section 24(3) of the act is as follows : 'if the tax assessed under this act or any instalment thereof is not paid by any dealer or person within the time specified therefor in the notice of assessment or in the order permitting payment in instalments, the dealer or person shall pay by way of penalty, in addition to the amount due a sum equal to a sum calculated at the rate of two per cent of such amount for each month or part thereof after the date specified .....
Tag this Judgment!Court : Allahabad
Reported in : [1975]99ITR507(All)
..... 1 is in the negative whether, on the facts and in the circumstances of the case, the appellate tribunal was justified in cancelling the penalty imposed under section 271(1)(c) of the income-tax act, 1961 ?' 3. ..... provisions relating to penalty are to be found in chapter xxi which deals with the penalties imposable and are no longer part of the chapter dealing with assessment proceedings as was the case under the indian income-tax act, 1922. ..... it is true that penalty is also imposed in respect of a particular assessment year, but penalty proceedings are not part of assessment proceedings, and, therefore, the principle that the law applicable under the income-tax act to a particular assessment year is the law prevailing on the 1st day of april of that year does not apply to penalty proceedings. ..... the income-tax officer also issued a notice under section 274 read with section 271(1)(c) of the income-tax act for the purposes of levying penalty. ..... the tribunal, therefore, held that the inspecting assistant commissioner of income-tax was wrong in invoking the provisions of the amended section 271 and, without the aid of the amendment, penalty could not be imposed as there was no independent proof of concealment. ..... income-tax officer : [1961]41itr425(sc) . ..... this is a reference under section 256(1) of the income-tax act, 1961, at the instance of the commissioner of income-tax, u. p. .....
Tag this Judgment!Court : Kolkata
Reported in : [1978]112ITR384(Cal)
..... we have given our anxious consideration to the contentions, and we hold ultimately that the assessment should be completed before the proceedings, either by way of a penalty or a prosecution under chapter xxi and chapter xxii of the income-tax act, 1961, respectively, can be instituted and that although the findings in either of the said proceedings may not be binding on the other, it does not rule out the necessity of completing the assessment which is the sine qua ..... pal submitted, however, that this notice is in a different context for imposing penalty under section 271(1)(c) as enjoined in chapter xxi and not relevant for the purposeof a prosecution under section 277 in chapter xxii of the act. ..... cause as to why a penalty should not be imposed on him under section 271(1)(c) of the act; secondly, that neither any prosecution under section 277 nor any penalty proceedings under section 271(1)(c) of the act is maintainable because the assessment for the relevant periods were not completed until then and even now ; thirdly, that the subject-matter of the assessment is barred by limitation in view of the provisions of sections 153(1)(a)(i) and 139(4)(b)(i) and (5) of the income-tax act, 1961; fourthly, that .....
Tag this Judgment!Court : Punjab and Haryana
Reported in : [1973]87ITR714(P& H)
..... as the assessee could not prove that the delay in filing the return of income was for a sufficient cause, the income-tax officer took proceedings for imposition of penalty under the provisions of the income-tax act, 1961 (hereinafter referred to as 'the 1961 act'). ..... the tribunal, however, changed the form of the question and has referred the following question of law to this court for opinion :' whether the substantive portion of section 271(1)(a) of the income-tax act, 1961, that creates the charge of the penalty has a retrospective operation in the absence of a clear statement or clear implication ' 3. ..... on that very date, the income-tax officer issued notice under section 271 read with section 274 of the 1961 act calling upon the assessee-firm to show cause why an order imposing a penalty should not be made under section 271 of the said act for having without reasonable cause failed to furnish the return of income within the time as required by law. ..... in the act of 1961, the provisions relating to penalties are contained in chapter xxi. ..... it may be mentioned that in chapter xxii dealing with offences and prosecutions a provision has been made in section 276 for punishment with fine in case of failure without reasonable cause or excuse to furnish in due time' a return under section 139(2) which was equivalent to section 22(2) of the act of 1922. .....
Tag this Judgment!Court : Supreme Court of India
Reported in : AIR1970SC778; [1970]77ITR107(SC); (1969)3SCC311; [1970]3SCR253
..... november 23, 1964, the income tax officer issued a notice under section 271 read with section 274 of the income tax act 1961 calling upon the firm to show cause why an order imposing a penalty should not be passed on account of its failure to furnish the return ..... equally difficult to understand the argument that because it rests with the income tax officer to complete the assessment by a particular date it will depend on his fiat whether the penalty should be imposed under the act of 1922 or under the act of 1961. ..... penalty imposable in a case where there has been a failure to file a return in compliance with a notice issued by the income tax officer has been reduced under the act of 1961. ..... the explanation submitted by the assessee the income tax officer made an order on november 19, 1966 under clause (a) of section 271(1) of the act of 1961 imposing a penalty of rs. ..... the second change is that under the act of 1922 the income tax officer could not impose any penalty without the previous approval of the inspecting ..... act of 1961 the provisions relating to penalties are contained in chapter xxi. ..... be mentioned that in chapter xxii dealing with offences and prosecutions a provision has been made in section 276 for punishment with fine in case of failure without reasonable cause or excuse to furnish in due time a return under section 139(2) which was equivalent to section 22(2) of the act of 1922. ..... that provision appears in chapter xxi11 and is a part of section 297 which deals with repeals .....
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