2018 (4) TMI 1470

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....he ld. CIT(A). 3. The facts as appearing from record are that the assessee is a contractor and notice dated 23/5/2012 under section 148 of the Act was issued by recording reasons to believe that the income to the tune of Rs. 71,88,562/- chargeable to tax has escaped assessment. The assessee did not file any return of income in compliance to the said notice and the assessment order was passed under section 147/144 of the Act assessing the income of the assessee at Rs. 10,78,290/-. While passing the order, penalty proceedings under section 271A were also initiated. A show cause notice under section 271A was issued on 14/7/2014 specifically asking the assessee to show cause why penalty under section 271A may not be imposed in the case of the ....

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....to the case of the assessee and is not at all applicable. The ld. A.R. of the assessee strongly placed reliance upon the Third Member decision of Chennai Bench of the Tribunal in the case ACIT vs. Aggarwal Construction Co. reported in [2007] 106 ITD 129 (TM). 6. The ld. D.R., on the other hand, relied upon the orders of the authorities below. 7. We have perused the case records and we find that the issue before the Hon'ble jurisdictional High Court in the case of CIT vs. Bisauli Tractors (supra) was that whether penalty under section 271B of the Act could be levied in a case where the books of account were maintained by the assessee. The Hon'ble jurisdictional High Court in that case held that where no account has been maintained,....

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....the relevant provisions of law. We find that penalty Under Section 271Amay be levied, if the assessee fails to keep and maintain any such books of account and other documents as required by Section 44AA or u/r 6F. We find that the provisions of Section 44AA(1) are not applicable to the case, as the assessee is a civil contractor and not a person carrying on a specified profession. Section 44AA(2) requires the assessee to keep and maintain such books of account and other documents as may enable the Assessing Officer to compute his total income in accordance with the provisions of the Act. There is no dispute that the assessee has kept the books and other documents which enabled the Assessing Officer to determine total contract receipt of the....