Concealment penalty sustained for bogus purchase bills where no contrary material rebutted the appellate findings.

Penalty under section 271(1)(c) for concealment of income was sustained where the additions arose from bogus purchase bills and non-genuine purchase transactions. The assessee did not appear and placed no material to rebut the appellate findings or show any error in the recorded conclusions. In the absence of contrary evidence, the ITAT found no basis to interfere with the Commissioner (Appeals)'s view that the concealment penalty was properly imposed.

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Issues: Whether the penalty levied under section 271(1)(c) of the Income-tax Act, 1961 for concealment of income, arising from non-genuine purchase transactions, was liable to be upheld.

Analysis: The assessee did not appear and no contrary material was placed to disturb the findings recorded by the Commissioner (Appeals). The record showed that the additions stemmed from bogus purchase bills and the penalty had been imposed on the basis of concealment of income. In the absence of any material showing error in the appellate findings, no interference was called for.

Conclusion: The penalty under section 271(1)(c) of the Income-tax Act, 1961 was upheld and the assessee's challenge failed.

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