2011 (4) TMI 59

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....pellant.   Mr. Yogesh Putney, Senior Standing Counsel for the respondent.   AJAY KUMAR MITTAL, J.   This appeal under Section 260A of the Income-Tax Act, 1961 (in short "the Act") has been filed by the assessee against the order dated 3.12.2008 passed by the Income Tax Appellate Tribunal Chandigarh Bench (SMC Bench), Chandigarh (in short "the Tribunal"), in ITA No. 933/Chan....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....present case the action of the authorities below in imposing penalty for concealment of income, merely on the basis of presumptions, is legally sustainable in the eyes of law?   (iv) Whether under the facts and circumstances of the present case the action of the authorities below in passing orders (Annexure A-1 to A-3) even when the genuineness of the transactions were fully explained by t....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....e as shown in the books of account were not genuine, inasmuch as no confirmation and verification had been furnished by the assessee and, thus, made an addition of Rs. 1,97,000/-. The assessing officer also disallowed 1/4th of the actual expenses of Rs. 67,767/- and further added a sum of Rs. 16,942/-. Pursuant to the same, notice under Section 274 read with Section 271(1)(c) of the Act was issued....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....tion of penalty, the conduct of the assessee must be conscious. Hon'ble Gujarat High Court in the case of AM Shah & Co. vs. CIT (108 Taxman 137) (Guj.) even went to the extent that the concealment/ inaccuration occurring up to final stage must be considered. Even otherwise, a harmonious construction of Section 106 of the Evidence Act and Section 68 of the Act will be that though apart from establi....