2013 (7) TMI 978

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....of the  Income Tax Act, 1961 (in short 'the Act'). The assessee has filed Cross Objections against the appeal filed by the Revenue. 2. Both the appeal of the Revenue and the Cross Objections filed by the assessee on the similar issue  were heard together  and are being disposed off by this consolidated order for the sake of convenience. 3.The Revenue in ITA No.441/Chd/2012 has raised following grounds  of appeal:      "1.On the facts and circumstances of the case, the Ld. Commissioner of Income Tax (Appeals) has erred in law in reducing the penalty levied u/s 272B of the Income Tax Act, 1961 amounting to Rs. 5,20,000/- for non quoting/wrong quoting of PANs in 53 cases in the TDS Returns 26Q f....

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.... in  imposing penalty u/s 272B if Income Tax Act, 1961 while ignoring that:  *   appellant Bank made efforts to get the correct PAN from all the 53 persons;  * and there is no provision to recover the amount of penalty from the said persons for their fault by the Bank; and  * that the Bank has made all efforts to get the correct PAN Numbers but failed  due to lapse on the part of the persons/clients for which Bank deserves no  penalty;  * That there is reasonable cause for failure of Respondent Bank in not furnishing the correct PAN number within given time.  * That the appellant craves leave to add, amend or delete any of the grounds of appeal on or before the disposal of the....

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....p; Objection  against  the  said  penalty  levied  under  section 272B  of the  Act  at  Rs. 10,000/-.  In  the first  instance, the Cross Objection filed by the assessee is delayed by a period  of 99 days.  The application for condonation of delay in filing the Cross  Objection before the Tribunal has been filed by the assessee, which is  placed  on  record. The  contention  of  the  assessee  is  that  the  bank  officials had  received  the  appeal  notice  for the  above  said  appeal on  22.5.2012 but due to ignorance and lack of legal advice, it co....

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....off the issue alongwith the issue raised by the the Revenue in its appeal in paras herein below.  7. The  issue  raised  in  the  present  appeal  is  in  relation  to  levy  of  penalty under section 272B of the Act for the default in quoting of PAN  numbers of the deductees in the e-TDS quarterly statement filed in Form  No.26Q by the assessee.  The assessee in the said Form No.26Q relating  to  financial  year 2007-08  had  wrongly  quoted  the  PAN  numbers  in  respect  of 53  deductees. The  assessee  had  not  filed  the  correction  statement befor....

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....o 855/chd/2012 2008-09 & 2009-10 28.02.2013       9. The learned A.R. for the  assessee had  also  filed Paper  Book  in  which the order of the Tribunal in the case of ITO Vs. Ambala Distt. Co-  op.  Milk  Producers  Union  Ltd.  in  ITA  No.941/Chd/2011,  is  attached,  under which the penalty of Rs. 10,000/- under section 272B of the Act  has been upheld and it has been further held that there is no provision in section 272B for levy of penalty @ Rs. 10,000/- per default.  10. However, the learned A.R. for the assessee placed reliance on the  ratio  laid  down  by  the  Chandigarh&nbsp....