2002 (9) TMI 55 - HC - Income Tax

Reward supply of information - The petitioner is a public spirited person engaged in journalistic activities and the original petition has been filed by him frustrated by the delay in getting rewards from the Income-tax Department and he submits that in view of the information that had been supplied by him, the Department had come across black money and he is, as of right, entitled to reward - The petitioner might have given the information as a public spirited person, but for the very reason, it may not therefore be justified on his part to insist for rewards as rewards can come to the petitioner only as prescribed by the guidelines and only after recovery of the amounts. If profit motive is there as a predominant aim, it cannot also be qualified as public spirit. Standing counsel assures that in any case, there will not be delay, if the petitioner is entitled to the rewards.

Summary

The petitioner sought rewards from the Income-tax Department for providing information on black money. The Department clarified that rewards are given only for qualitative and definite information leading to recovery of evaded tax. Delays in rewards are unavoidable due to assessment procedures. The court closed the petition without directing a specific time limit for payment.