TaxTMI 
TaxTMI 
1991 (9) TMI 131
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....ssee. In the course of the penalty proceedings, the ITO took note of the facts that the addition of Rs. 60,000 as had been made in the assessment proceedings had been reduced, in appeal, to Rs. 25,000 only. He, therefore, was of the opinion that the assessee had concealed the particulars of his income of Rs. 25,000. He, therefore, worked out the minimum penalty at Rs. 9,420 which was equal to the tax stated to have been avoided by the assessee. 3. In appeal, however, the learned Dy. CIT(A) noted that the assessee had filed his return of income for asst. yrs. 1973-74 to 1975-76 under the Voluntary Disclosure Scheme and in his return for asst. yr. 1973-74, the assessee had disclosed cash in hand at Rs. 75,000. Though the assessee, on being a....
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....ned penalty. The learned DR further submitted that Expln. to s. 271(1)(c), as was in force, during the period between 1st April, 1964 to 31st May, 1975, casts the burden to prove the difference of 20 per cent between the returned income and the assessed income on the assessee which the assessee had miserably failed in the present case. He, therefore, submitted that he penalty levied by the ITO be restored. 5. Mr. Ranka, Advocate supported the order under appeal and submitted that as held by the Rajasthan High Court decision in the case of CIT vs. Goswami Smt. Chandralata Bahuji (1980) 125 ITR 700 (Raj) something more than what was foudn in the assessment proceedings was required for success in penalty proceedings. The words "something more....
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.... agriculture and livestock breeding carried on by the appellant, the appellant was required to keep substantial cash balance with him. As per wealth-tax assessment records, even for the subsequent assessment years, the assessee was having huge cash balance, ranging between Rs. 85,000 to Rs. 1,10,000 with him. After considering the above facts and circumstances of the cash, I am of the view that it would be reasonable to treat the cash balance to the extent of Rs. 50,000 shown by the appellant. The remaining unexplained cash of Rs. 25,000 is, therefore, added to the income of the assessee for the asst. yr. 1973-74 under s. 69 (sic) of the IT Act, 1961." The above view of the AAC was upheld by the Tribunal in the following terms: "Coming to....