https://www.taxtmi.com/caselaws?id=17037 Whether penalty for concealment under Expln. to s. 271(1)(c) of the IT Act could be sustained turned on whether the assessee rebutted the statutory presumption on a preponderance of probabilities. The HC held that the Explanation raises only a rebuttable presumption; assessment findings are relevant in penalty proceedings but do not operate as res judicata because the considerations differ. Since the Tribunal, on appreciation of evidence, recorded a categorical factual finding that the assessee's material discharged the onus and it could not be said on balance of probabilities that the disputed amounts were not from the stated source, no interference was warranted. Penalty cancellation was upheld and the reference was answered in favour of the assessee. en-us Wed, 26 Nov 1997 00:00:00 +0530 Tue, 30 Dec 2025 11:59:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=17037 Whether penalty for concealment under Expln. to s. 271(1)(c) of the IT Act could be sustained turned on whether the assessee rebutted the statutory presumption on a preponderance of probabilities. The HC held that the Explanation raises only a rebuttable presumption; assessment findings are relevant in penalty proceedings but do not operate as res judicata because the considerations differ. Since the Tribunal, on appreciation of evidence, recorded a categorical factual finding that the assessee's material discharged the onus and it could not be said on balance of probabilities that the disputed amounts were not from the stated source, no interference was warranted. Penalty cancellation was upheld and the reference was answered in favour of the assessee. Case-Laws Income Tax Wed, 26 Nov 1997 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=17037