TMI Blog2011 (2) TMI 1244X X X X Extracts X X X X X X X X Extracts X X X X ..... er-appellant. Aggrieved by the decision of the second respondent herein as evidenced by his proceedings dated May 15, 1998 (exhibit P2), the original petition was filed with the prayers as follows:- (i) to call for the entire records of the case ; declare, that the payment as evidenced by exhibit P2 made by the petitioner for the year 1989-90 towards the Voluntary Disclosure of Income Scheme, 1997, is regular ; issue a writ of mandamus to the second respondent to accept the declaration and disburse the certificate under section 68(2); (ii) issue a writ of mandamus directing the second respondent to accept the declaration made by the petitioner under the Voluntary Disclosure of Income Scheme, 1997, for the year 1989-90 by condoning the delay of one day and issue a certificate of immunity under section 68(2); (iii) to call for the records of the case leading to the issue of exhibit P3 notice, declare the same to be illegal and non est in the eye of law and quash the same by way of issuing a writ of certiorari; (iv) to issue a writ of prohibition restraining the respondents from proceeding further with exhibit P3 notice; The facts leading to the case are as follows ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on the tax payable. Failure to make the payment of the tax entails a legal presumption that there was never any declaration as contemplated under the Scheme. Section 67 reads as follows:- "67. Interest payable by declarant:- (1) Notwithstanding anything contained in section 66, the declarant may file a declaration without paying the tax under that section and the declarant may file the declaration and the declarant may pay the tax within three months from the date of filing of the declaration with simple interest at the rate of two per cent. for every month or part of a month comprised in the period beginning from the date of filing the declaration and ending on the date of payment of such tax and file the proof of such payment within the said period of three months. (2) If the declarant fails to pay the tax in respect of the voluntarily disclosed income before the expiry of three months from the date of filing of the declaration, the declaration filed by him shall be deemed never to have been made under this Scheme." Further, under section 68(2), the Commissioner who is the competent authority before whom the declaration is required to be filed under section 6 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 98, with interest as stipulated in section 67. The relevance of the date of receipt of the declaration by the Commissioner in the context of such delayed payment assumes importance in view of the stipulation made under section 67(2) of the Scheme. As already noticed, delayed payment is required not only to be paid with interest, but also to be paid within "3 months from the date of the filing of the declaration." The respondents do not dispute the issuance of the receipt by the Commissioner's office which bears the date December 31, 1997. Though it is argued by the learned counsel for the respondents that, since the declaration was not directly presented to the Commissioner but filed before the Assistant Commissioner, the declaration is treated to have been filed on December 30, 1997. Therefore, the period of three months contemplated under section 67(1) is to be reckoned from that date. We reject the submission of the respondents. It is a settled principle of jurisprudence of taxation that there is neither any scope for equities or inferences contrary to the language of the enactment. The law stipulates that declaration is to be made to the Commissioner of Income-tax and, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... th is given as follows:- '211. Calendar month running from arbitrary date:- When the period prescribed is a calendar month running from any arbitrary date the period expires upon the day in the succeeding month corresponding to the date upon which the period starts, save that, if the period starts at the end of a calendar month which contains more days than the next succeeding month, the period expires at the end of that succeeding month. If a period of one calendar month includes the last day of February there must be 29 or 28 days, according as the year is or is not a leap year'. Thus computed, the application filed by the appellant on April 30, 1988, is within limitation a period of three months of the date of the registered sale deed dated January 30, 1988. In this view of the matter, we are unable to sustain the order under challenge. We set aside the impugned order, restore the second appeal and remit the case to the High Court for disposal in accordance with law." Again, the question fell for the consideration of the Supreme Court in the judgment in State of Himachal Pradesh v. Himachal Techno Engineers [2010] 3 KLT 575 ; [2010] 12 SCC 210, 214. The Supreme C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... days or 91 days or 92 days or 89 days." It is, therefore, clear from the above-mentioned two judgments that the period of three months in so far as the appellant is concerned would expire in the third month on the date corresponding to the date upon which the period starts. We have already found that the date on which the period starts for reckoning is December 31, 1997, and, therefore, the payment made on March 31, 1998, in our view, is within the period of three months for the purpose of section 67 of the Finance Act. The second respondent declined to grant the certificate contemplated under section 68(2) by his communication dated May 15, 1998, on the ground that the payment was not made within the period permitted by the law. Such a communication is unsustainable in view of the conclusions reached by us and the reasons recorded. We, therefore, set aside the impugned order of the second respondent dated May 15, 1998, and direct the second respondent to issue the necessary certificate to the appellant. In view of the rejection of the certificate by the Commissioner, the Assessing Officer issued further notice in exhibit P3 under section 148 of the Income-tax Act proposing ..... X X X X Extracts X X X X X X X X Extracts X X X X
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