2012 (11) TMI 901

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... & Constructions (P) Ltd., it transpired that Shri K.Thangavelu , the present assessee is working as commission agent and on the commission paid to the assessee, tax was deducted by Shri D.Srinivasan. On verification it emerged that the assessee was not assessed to tax . Summons under section 131 of the Income Tax Act, 1961 was issued to the assessee on 7.7.2008. The assessee admitted the receipt of the commission from Shri D.Srinivasan to the tune of Rs.81,92,208/-, during the current year and Rs.15.00 lakhs during the financial year ended on 31.3.2008. Notice under section 148 was issued to the assessee on 17.7.2008. In response to the notice, the assessee filed return on 16.2.2009 relevant to the assessment year 2007-08 admitting total i....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....i K.Raghu, Authorized Representative of the assessee submitted that the assessee was not assessed to tax prior to the assessment year 2007-08. Notice was issued to the assessee under section 148. In compliance of the notice, the assessee had filed return before the expiry of the time as prescribed under section 153 of the Act. Therefore the return filed by the assessee is voluntary return. He further contended that the amount of Rs.5.00 lakhs was inadvertently not mentioned in the income and expenditure statement and it was not deliberate concealment on the part of the assessee and it was on account of oversight. Therefore, the penalty on account of concealment of Rs.5.00 lakhs and non- filing of return voluntarily is liable to be set aside....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... voluntary return as it was filed before the expiry of the time limit as specified in section 153 of the Act. 7. The second contention of the assessee is with regard to addition of Rs.5.00 lakhs made by the Assessing Officer. The documents on record clearly show that tax was deducted at source and commission received was to the tune of Rs.81,92,208/-, whereas in the return filed the income admitted was Rs.76,92,208/-. So there is concealment of income of Rs.5.00 lakhs in the income returned by the assessee. The plea of the assessee that error was on account of oversight is not tenable. The assessee had filed return of income in pursuance to notice issued under section 148 of the Act. The assessee has claimed benefit of tax deducted at so....