The Assessing Officer passed orders for the assessment years 1983-84, 1984-85 and 1985-86 making additions on account of cash credits and bogus purchases. Thereafter, in the year 1987, complaints under sections\u00a0276C(1)\u00a0,\u00a0271\u00a0,\u00a0278B\u00a0and\u00a0278\u00a0for those assessment years were filed against the assessee before the Additional Chief Metropolitan Magistrate. The assessee filed applications for compounding of the offences according to the guidelines issued by the Central Board of Direct Taxes for compounding of offences under the Direct Tax Laws, 2014. The Assessing Officer calculated the compounding fees on the basis of the concealed income and communicated this to the assessee with the approval of the Chief Commissioner. On writ the Court held that\u00a0 the compounding of offence under S. \u00a0276C(1)\u00a0would be permissible on payment of 100 per cent. of the tax sought to be evaded and not 100 per cent. of the amount sought to be evaded by the assessee. The assessee was therefore required to pay 100 per cent. of the tax sought to be evaded for compounding of offence under S.\u00a0276C(1) of the Act .\u00a0(AY.1983-84 to 1985-86)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 276C : Offences and prosecutions – Wilful attempt to evade tax –
\n Compounding of offences \u2014Compounding fees to be computed on basis of tax evaded and not income sought to be evaded [ S. 132 , 271 , 276(1) 278 278B ] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-12356","post","type-post","status-publish","format-standard","hentry","category-digest"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-3di","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/12356","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=12356"}],"version-history":[{"count":2,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/12356\/revisions"}],"predecessor-version":[{"id":18971,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/12356\/revisions\/18971"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=12356"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=12356"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=12356"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}