N.J.Chacho vs The Commr. Of Income-Tax on 28 November, 2007

       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

OP.No. 4946 of 2000(L)



1. N.J.CHACHO
                      ...  Petitioner

                        Vs

1. THE COMMR. OF INCOME-TAX,TVM.
                       ...       Respondent

                For Petitioner  :SRI.C.KOCHUNNY NAIR

                For Respondent  :SRI.P.K.R.MENON(SR.),SC FOR IT

The Hon'ble MR. Justice C.N.RAMACHANDRAN NAIR

 Dated :28/11/2007

 O R D E R
                      C.N.RAMACHANDRAN NAIR, J.
                 ....................................................................
                                O.P. No.4946 of 2000
                 ....................................................................
                Dated this the 28th day of November, 2007.

                                        JUDGMENT

Heard counsel for the petitioner and Standing Counsel appearing for

the respondents. The petitioner is challenging Ext.P2 order whereunder the

Commissioner has granted only partial waiver of interest levied under

Section 139(8) and Section 215 of the Income Tax Act for the assessment

years 1983-84 and 1984-85. The petitioner’s case is that returns were filed

under amnesty scheme and he is entitled to complete waiver of interest as

against partial waiver granted by the Commissioner. Standing Counsel

submitted that petitioner filed original return on 29.10.1985 i.e. prior to

introduction of amnesty scheme and such return disclose taxable income.

However, petitioner filed a return on 31.3.1986 under the amnesty scheme

under which an additional income of Rs.1,25,000/- was disclosed. It is seen

from the Commissioner’s order that petitioner is granted full waiver of

interest levied under the above two Sections for the additional income

returned in the return filed under amnesty scheme. Even though counsel

for the petitioner cited decision of the Calcutta High Court in

COMMISSIONER OF INCOME TAX V. SAVOY ENTERPRISES

2

LIMITED (211 ITR 192) and contended that the said decision applies to

petitioner’s case, I am unable to find anything in favour of the petitioner in

the said decision. The court in that case held that amnesty benefit should

be available to old assessees also. Original return filed by the assessee in

that case was a loss return and therefore, the entire income assessed is based

on return filed under the amnesty scheme. However, in this case prior to

the introduction of amnesty scheme petitioner had filed regular return,

though with delay, declaring taxable income and all consequences would

have followed had the petitioner not filed any return under the amnesty

scheme. Therefore, benefit is available under the amnesty scheme only

with reference to additional income returned. I find the Commissioner has

completely waived interest on the additional income returned and therefore,

petitioner was granted full amnesty benefit. The O.P. is devoid of any merit

and is dismissed.

C.N.RAMACHANDRAN NAIR
Judge
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