Section 245-I, read with section 271(1)(c), of the Income-tax Act, 1961 - Settlement Commission

IT: SLP dismissed against High Court ruling that even if there was an error of law or fact in calculating penalty by Settlement Commission, discretion exercised by it requires no interference unless exercise of power made by Settlement Commission was perverse requiring interference under article 226 of Constitution

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[2015] 56 taxmann.com 14 (SC)

SUPREME COURT OF INDIA

Arjun Singh Mohan Singh (HUF)

v.

Commissioner of Income-tax-I*

ANIL R DAVE, KURIAN JOSEPH AND MRS. R. BANUMATHI, JJ.

SPECIAL LEAVE TO APPEAL (C) NO. 19468 OF 2014†

DECEMBER  4, 2014

Section 245-I, read with section 271(1)(c), of the Income-tax Act, 1961 - Settlement Commission - Order to be conclusive (Penalty orders) - Assessment years 2001-02 and 2002-03 - High Court by impugned order held that even if there was an error of law or fact in calculating penalty by Settlement Commission, discretion exercised by it requires no interference unless exercise of power made by Settlement Commission was perverse requiring interference under article 226 of Constitution - Whether Special Leave Petition filed against impugned order was to be dismissed - Held, yes [In favour of revenue]