Penalty u/s.271(1)C

[SITARAM AGRAWAL]

Notice Received on 04-10-2011 u/s. 271(1)(c) read with sec.274 calling for explaination on

29-09-2011. Pl explain validity and also the case law.

Thanks

AGRRAWAL S.C.

[Guest]

Showcause notice is invalid.It amount to giving no opportunity not being heard.Consequenty any penalty levied on the basis of illegal and invalid notice cannot be upheald  in appeal.

[Guest]

Today reply was given by me and not my father. I am student of C.A.(Final).That was my personnal view.

Manisha Sharma

Student C.A.(Final)

AI Summary

Validity of show cause notice: lack of meaningful hearing opportunity undermines penalties under tax procedure rules. A show cause notice that fails to afford a meaningful opportunity to be heard is procedurally defective; penalties based solely on such an invalid notice lack procedural foundation because the audi alteram partem requirement is not satisfied.