Commissioner of Income Tax Vs Brij Nandan Prasad Deen Dayal

@JUDGMENTTAG-ORDER

This is an Income Tax reference u/s 256(1) of the Income Tax Act, 1961. In which the following questions have been referred to us for our opinion :

"1. Whether, on the facts and in the circumstances of the case, the learned Tribunal was legally correct in holding that the penalty u/s 271(1)(c) passed by the Inspecting Assistant Commissioner of Income Tax on 13-5-1980 was invalid and hence not sustainable in law ?

2. Whether, on the facts and in the circumstances of the case, the learned Tribunal was right in law in cancelling the penalty imposed by the Inspecting Assistant Commissioner u/s 271(1)(c), Income Tax Act ?"

2. The assessee is a Hindu undivided family and the relevant assessment year is 1972-73. The present dispute relates to penalty, which has been imposed on the assessee. The Inspecting Assistant Commissioner imposed penalty but his order was set aside by the Tribunal on the strength of judgments of this court in Commissioner of Income Tax Vs. Om Sons, and Commissioner of Income Tax Vs. Ram Lal Vohra, . The judgment of this court in Om Sons case (supra) has been reversed by the Supreme Court in Commissioner of Income Tax, Orissa Vs. Dhadi Sahu, . Hence the impugned order of Tribunal cannot be sustained and it is set aside. The matter is remanded back to the Tribunal to record a finding of fact as to whether there was concealment by the assessee and whether the requirement of section 271(1)(c) of the Income Tax Act has been compelled. The reference is disposed of accordingly.