https://www.taxtmi.com/caselaws?id=176193 In penalty proceedings under section 28 of the Income-tax Act, 1922, evidence of the assessee's real income is admissible where it helps determine whether a penalty should be imposed and, if so, its amount. Such evidence does not alter the assessment for income-tax purposes, but it is relevant to the discretionary penalty inquiry, which must be conducted after hearing the assessee under section 28(3). The refusal to admit evidence of true income was therefore unjustified, and the referred question was answered in the negative in favour of the assessee. en-us Tue, 10 Jan 1933 00:00:00 +0530 Sat, 02 Jan 2016 10:28:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=176193 In penalty proceedings under section 28 of the Income-tax Act, 1922, evidence of the assessee's real income is admissible where it helps determine whether a penalty should be imposed and, if so, its amount. Such evidence does not alter the assessment for income-tax purposes, but it is relevant to the discretionary penalty inquiry, which must be conducted after hearing the assessee under section 28(3). The refusal to admit evidence of true income was therefore unjustified, and the referred question was answered in the negative in favour of the assessee. Case-Laws Income Tax Tue, 10 Jan 1933 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=176193