VRINDAVAN vs GOVERDHAN LAL PITTIE

The Supreme Court upheld the constitutional validity of Section 18(1)(a) of the Wealth Tax Act, 1957, which imposes a penalty of 1/2% of the assessed wealth for each month of delay in filing returns. The Court found that the penalty is not confiscatory or unreasonable, thus not violating Article 19(1)(f) of the Constitution. The Court also noted that the provision does not discriminate against smaller assessees, as the penalty is proportionate to the assessed wealth, and dismissed the writ petition as lacking substance.