1986 (7) TMI 65

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..... , has referred to this court for its opinion the following question : "Whether, on the facts and in the circumstances of the case, the Appellate Tribunal was legally justified in cancelling the penalty imposed by the Inspecting Assistant Commissioner after April 1, 1971 (1976 ?), i.e., on February 9, 1977 ?" The relevant assessment year in regard to the penalty proceedings was 1972-73. The facts .....

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..... the Act. The Inspecting Assistant Commissioner held that the provisions of section 271 (1) (c) were attracted and imposed the penalty by order dated November 29, 1971. On appeal, the Tribunal held that as section 274(2) of the Income-tax Act had been amended with effect from April 1, 1971, by the Taxation Laws (Amendment) Act of 1970, the Inspecting Assistant Commissioner, did not have jurisdicti .....

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..... ssioner ceased to have jurisdiction to impose penalty after April 1, 1971 (1976 ?), in view of the provisions contained in the Amending Act, the question referred to this court by the Tribunal deserves to be answered in the affirmative. We, accordingly, answer the question referred to us in the affirmative, in favour of the assessee and against the Department. The assessee would be entitled to it .....

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