2012 (5) TMI 614

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....ILLAIYA (AM): By way of this appeal, the assessee has called into question the correctness of the CIT(A)'s Order dt. 23.7.2010 for assessment year 2006-07. 2. The only grievance of the assessee is that the authorities below erred in levying penalty u/s. 271(1)(c) on deemed dividend u/s. 2(22)(e) of the I.T. Act, 1961. 3. The facts as they were at the stage of the assessment , that while s....

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....missions dt. 25th February, 2009, we submit as under: 1. The assessee had a debit balance in the books of accounts of Third Eye Qualitative Researchers Pvt. Ltd. 2. The debit balance occurred due to some payments made by the company which were not allowable in the hands of the company. As such these payments were debited to Ms. Gitanjali Ghat's account. 3. As a result of....

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....CIT(A) who confirmed the penalty holding that the ratio laid down by the Hon'ble Supreme Court in the case of CIT Vs Atul Mohan Bindal 317 ITR 01 (SC) squarely applied on the facts of the case. 8. Aggrieved by the order of Ld. CIT(A), assessee is in appeal before us. 9. The Ld. Counsel appearing for the assessee argued that the assessee was not aware of the provisions of Sec. 22(2)(e) of the....

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.... should be confirmed. 11. We have perused the orders of lower authorities. It is not in dispute that the fact of the loan taken by the assessee from the company came within the knowledge of AO from the balance sheet filed by the assessee which means that the assessee has disclosed the fact of borrowing in her balance sheet. We agree with the Counsel that assessee had no malafide intention to co....