Amendment of Act 27 of 1957

Section 20 of the Finance Act, 1965 deals with amendment of Act 27 of 1957. Amendment of Act 27 of 1957 20. In the Wealth-tax Act, 1957,— (i) in section 5, in sub-section (1), for clause (xvia), the following clause shall be, and shall be deemed to.

Amendment of Act 27 of 1957

20. In the Wealth-tax Act, 1957,—

(i) in section 5, in sub-section (1), for clause (xvia), the following clause shall be, and shall be deemed to. have been, substituted with effect from the 1st day of April, 1965, namely: —

"(xvia) 6 1/2 per cent. Gold Bonds, 1977 and 7 per cent. Gold Bonds, 1980;";

(ii) in section 18, after sub-section (2), the following subsections shall be inserted, namely: —

"(2A) Notwithstanding anything contained in clause (i) or clause (iii) of sub-section (1), the Commissioner may, in his discretion,—

(i) reduce or waive the amount of minimum penalty imposable on a person under clause (i) of sub-section (1) for failure, without reasonable cause, to furnish the return of net wealth which such person was required to furnish under sub-section (1) of section 14, or

(ii) reduce or waive the amount of minimum penalty imposable on a person under clause (iii) of sub-section (1),

if he is satisfied that such person-

(a) in the case referred to in clause (i) of this subsection has, prior to the issue of notice to him under sub-section (2) of section 14, voluntarily and in good faith, made full disclosure of his net wealth; and in the case referred to in clause (ii) of this sub-section has, prior to the detection by the Wealth-tax Officer of the concealment of particulars of assets or of the inaccuracy of particulars furnished in respect of the assets or debts in respect of which the penalty is imposable, voluntarily and in good faith, made full and true dis- closure of such particulate;

(b) has co-operated in any enquiry relating to the assessment of the wealth represented by such assets; and

(c) has either paid or made satisfactory arrangements for payment of any tax or interest payable in consequence of an order passed under this Act in respect of the relevant assessment year.

(2B) An order under sub-section (2A) shall be final and shall not be called in question before any court of law or any other authority.";

(iii) in sections 31 and 34A, for the words "four per cent.", Wherever they occur, the words "six per cent shall be, and shall be deemed to have been, substituted With effect from the 1st day of April, 1965;

(iv) in section 36,—

(a) after sub-section (3) the following sub-section shall be inserted, namely: —

" (3A) A person shall not be proceeded against for an offence under sub-section (2) in relation to the -assessment for an assessment year in respect of which the penalty imposable upon him under clause (iii) of sub-section (1) of section 18 has been reduced or waived by an order under sub-section (2A) of that section.";

(b) after sub-section (4), the following sub-section shall be inserted, namely;—

"(4A) Where any proceeding has been taken against any person under sub-section (3), any statement made or account or other document produced by such person before any of the Wealth-tax authorities specified in sections 8, 9, 10, 10A and 11 shall not be inadmissible as evidence for the purpose of such proceedings merely on the ground that such statement was made or such account or other document was produced in the belief that the penalty imposable would be reduced or waived under sub-section (2A) of section 18 or that the offence in respect of which such proceeding was taken would be compounded;".

[Finance (No.

2) Act, 1965]

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Section 20, The Finance Act, 1965 (Act 15 of 1965).