TMI Blog2004 (8) TMI 64X X X X Extracts X X X X X X X X Extracts X X X X ..... erved, delay in filing of wealth-tax return cannot be justified merely because there may be some liability towards income-tax which may get quantified at the time of filing of the income-tax return. - held that in the absence of any material on record justifying the delay in filing the returns, the assessee was liable to penalty - W.T. APPEAL NOS. 10 AND 11 OF 2001 - - - Dated:- 24-8-2004 - Judge(s) : N. K. SUD., A. K. GOEL. JUDGMENT The judgment of the court was delivered by N. K. Sud J.- This order will dispose of two appeals, viz., W.T.A. Nos. 10 and 11 of 2001, directed against the common order of the Income-tax Appellate Tribunal, Chandigarh Bench (B), Chandigarh (for short "the Tribunal"), dated July 5, 2001, relating to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The assessee preferred appeals before the Commissioner of Wealth-tax (Appeals) and it was submitted that since the assessments had been framed on protective basis, no penalty was leviable under section 18(1)(a) of the Act in view of the judgment of this court in CIT v. Behari Lal Pyare Lal [1983] 141 ITR 32. This contention was accepted by the Commissioner of Wealth-tax (Appeals) who allowed the appeals and cancelled the penalties. Aggrieved by the order of the Commissioner of Wealth-tax (Appeals), the Revenue filed appeals before the Tribunal, which have been disposed of vide the impugned order dated July 5, 2001. The Tribunal has rejected the first plea of the assessee that no penalty was leviable as the assessment had been made on p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ea that delay in filing the income-tax return automatically constitutes a reasonable cause for the delay in filing the wealth-tax return and has applied it as a general rule. This, in our view, is a totally erroneous approach. Without examining the reasons for delay in filing of the income-tax returns, such a finding cannot be recorded. Under the Income-tax Act, taxes are substantially paid in advance and in many cases, no tax is due on the basis of the returned income. On the other hand, under the Wealth-tax Act, there is no provision for advance payment of tax and, therefore, the tax has to be deposited with the filing of the return. In a given case, there may not be any tax payable on the returned income and, thus, even if such a return ..... X X X X Extracts X X X X X X X X Extracts X X X X
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