Income Tax Officer, Sangrur (Now Sunam v. Bhoj Raj

IN THE HIGH COURT OF PUNJAB AND HARYANAAT CHANDIGARH Criminal Misc. No.639-MA of 2006 Date of Decision:05.02.2008 Income Tax Officer, Sangrur (now Sunam) Vs. Bhoj Raj .....Petitioner .....Respondent CORAM:- HON'BLE MR. JUSTICE RAJESH BINDAL Present:-Mr. Yogesh Putney, Advocate for the appellant.Mr. K.L.Goyal, Advocate for the respondent. **** RAJESH BINDAL, J. This is an application seeking leave to file appeal against thejudgment whereby the respondent has been acquitted of the charges underSection 276-C and 277-C of the Income Tax Act, 1961 and Section 193 and196 IPC. It is not disputed that the tax as well as penalty was not held tobe leviable by this Court in I.T.R.No.94 of 1987 decided on 27.9.2006 onthe issue of quantum and on the issue of penalty in I.T.R. No.15-A of 1993decided on 27.9.2006. Once in the quantum as well as in penaltyproceedings, issue has already been decided in favour of the assessee, thepresent prosecution proceedings on the basis of alleged evasion of tax andpenalty cannot continue. However, learned counsel for the applicantsubmitted that the department has already filed a Special Leave Petition inHon'ble the Supreme Court against the judgment of this Court inI.T.A.No.94 of 1987 and I.T.R. No.15-A of 1993. At this stage, keeping in view the fact that this Court hasalready held that the tax and penalty is not leviable on the assessee, theapplication for leave to appeal is dismissed. However, in case the judgmentof this Court in I.T.R. No.94 of 1987 and I.T.R. No.15-A of 1993 isreversed by Hon'ble the Supreme Court and it is ultimately held that therespondent- assessee is liable to pay the tax and the penalty, the applicantwill have right to get the present application revived. ( RAJESH BINDAL ) JUDGE