TMI Blog1988 (8) TMI 78X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Revenue to answer the following question of law, namely : "Whether, on the facts and in the circumstances of the case, the Tribunal was justified in law in holding that penalty order passed under section 271(1)(c) on March 30, 1979, imposing a penalty of Rs. 3,700 was barred by limitation prescribed under section 275 of the Income-tax Act, 1961 ?" The relevant assessment year is 1972-73 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Act. The Revenue preferred an appeal to the Tribunal which has been rejected. The Tribunal has held that the order dated March 31, 1978, passed by the Appellate Assistant Commissioner remanding the matter to the Income-tax Officer was not within the scope of section 251(1)(b) of the Act.However even otherwise, the Tribunal has held that the fresh order dated March 30, 1979, imposing penalty ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ner is hit by the bar of limitation prescribed in section 275 of the Act. The relevant part of section 275 is as under : " 275. Bar of limitation for imposing penalties. 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 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... months from the end of the month in which the order of the Appellate Assistant Commissioner is received by the Commissioner, which is admittedly the period which expired later in the present case. It is also an admitted fact that the Income-tax Officer's fresh order imposing penalty passed on March 30, 1979, was made after the expiry of this period of six months prescribed under section 275(a)(ii ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the 1961 Act prior to its amendment whereby sub-clause (ii) of clause (a) of section 275 has been inserted. After this amendment in section 275 with which we are concerned in the present case, it is clear that the bar of limitation for imposing penalty applies not only to the initial order imposing penalty but also to an order of penalty imposed as a consequence of the appellate order. According ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
