2013 (4) TMI 656

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... Yahya: AM This appeal by the Revenue is directed against the order of the Ld. Commissioner of Income Tax (Appeals-XIII), New Delhi pertaining to assessment year 1992-93. 2. The issue raised is that Ld. Commissioner of Income Tax (A) erred in deleting the addition of Rs. 14,88,490/- made by the Assessing Officer u/s. 271(1)(c) of the Act. 3. In this case during the course of assessment pr....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....hat provisions of section 271(1)(c) of the Act are attracted. Therefore, he held that assessee company was in default of furnishing of inaccurate particulars of its income and accordingly, he imposed the penalty of Rs. 6,69,820/-. 5. Upon assessee's appeal Ld. Commissioner of Income Tax (A) deleted the penalty in this regard. 6. Against the above order the Revenue is in appeal before us. ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....herefore, the deduction was required to be given by spreading it equal of six years. Thus, it is clear that the assessee has made the claim for payment of technical know-how under the bonafide belief that its claim for payment of third instalment was also allowable as deduction on the same basis as in the previous year. Thus, we find that the assessee cannot be held guilty of furnishing of inac....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

...., the assessee will invite the penalty u/s 271(1)(c). This is clearly not the intendment of legislature. 7.2 We further place reliance from the Apex Court decision rendered by a larger Bench comprising of three of their Lordships in the case of Hindustan Steel vs. State of Orissa in 83 ITR 26 wherein it was held that "An order imposing penalty for failure to carry out a statutory obligation is ....