TMI Blog2015 (2) TMI 255X X X X Extracts X X X X X X X X Extracts X X X X ..... s applicability for the prospective effect unless it is expressly made retrospective in the said decision. The reference may be made to the decision of the Apex Court in case of Ashok Kumar Gupta and another V/s. State of U.P. and others reported in (1997 (3) TMI 602 - SUPREME COURT). Our answer to the question is to be in negative. - Tax Appeal No. 4 of 2006 - - - Dated:- 7-1-2015 - Jayant Patel And S. H. Vora,JJ. For the Appellant : Mr Sudhir M Mehta, Adv. For the Respondents : Mr B S Soparkar, Mrs Swati Soparkar, Adv. ORDER (Per : Honourable Mr. Justice Jayant Patel) 1. Following question of law has been formulated in the present appeal at the time of admission of the appeal as under:- Whether on facts and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ax is not levaible. The Tribunal relied upon the decision of the Apex Court in case of C.I.T. V/s. Hindustan Electro Graphites Ltd. reported in 243 ITR 48 and found that the Assessee had filed return of income which was correct as per law prevailing on the date of filing of return and as additional tax has the imprint of penalty, the Revenue cannot be heard to say that the levy of additional tax is automatic under Section 143(1)(a) of the Act and hence, partly allowed the appeal. Under the circumstances, the Revenue is in the present appeal. 4. We have heard Mr.Sudhir Mehta, learned counsel appearing for the appellant and Mr.B.S. Soparkar, learned counsel appearing for the respondent - Assessee. 5. We may record that there is no expre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is a modern doctrine and is suitable for a fast-moving society. It does not do away with doctrine of stare decisis but confines it to past transactions. While in strict theory, it may be said that the doctrine involves the making of law, what a court really does is to declare the law but refuses to give retrospectivity to it. It is really a pragmatic solution reconciling the two conflicting doctrines, namely, that a court finds law and that it does make the law. It finds the law but restricts its operation to the future. It enables the courts to bring about a smooth transition by correcting the errors without disturbing the impact of those errors on past transactions..... Useful reference may also be made to another decision of the Ape ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lying upon the decision in case of Hindustan Electro Graphites Ltd. (supra), found that when on the date of filing the return, the return was correctly filed as per the law prevailing on the date and the additional tax which has the imprint of penalty, could not be recovered. The learned counsel, therefore, submitted that the question may be reframed or an another question may be framed by this Court as under:- Whether additional tax is leviable even if the liability to pay tax as per the decision of the Apex Court in case of Associated Power Company Limited, reported in 218 ITR, 195 accrued after filing of the return of Income Tax but before last date of filing of the Income Tax return? 7. We may also record that we have heard the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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