2018 (8) TMI 727

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.... against the order of Commissioner of Income Tax (Appeals) (hereinafter referred to as 'the CIT(A)'). The assessment year involved is 2003-04. 2. The following questions of law have been framed in the appeal for decision by this Court :- (i)Whether under the facts and circumstances of the case, the Tribunal was justified in reversing the order of Commissioner of Income Tax (Appeals) and upholding the levy of penalty on the appellants? (ii)Whether under the facts and circumstances of the case, the Tribunal was correct in holding that the appellant has concealed the income tax ignoring the fact that the accounts filed by the appellant was audited by the Chartered Accountant and the assessment was completed by applying flat rate o....

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....e the Assessing Officer (hereinafter referred to as the 'the AO') that its books of account were lost in transit for which an FIR was lodged. When the AO noted that books of the assessee were generated through computer and, therefore, even if the audited books of account were lost, he could have submitted computer generated copies thereof for verification. The AO was supported for his this stand from the audit report where the auditor has mentioned in column 9(b) as "Cash Book, Ledger maintained by computer". In column 9(c) it was written that only cash book and ledger had been examined by auditor meaning thereby that no purchase voucher and expense voucher had been maintained by the assessee. In view of the aforesaid facts, the AO ....

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.... no positive proof regarding concealment of income and, therefore, the order passed by the AO under Section 271(1)(c) of the Act was set aside. 9. The Department filed an appeal against the aforesaid order of the CIT(A) before the Tribunal. The Tribunal in its impugned judgment and order has held that it is not in dispute that the assessee could not furnish books of account, expenses vouchers etc. either before the AO or before the CIT(A) and same could not be furnished before the Tribunal as well. Though it was an admitted fact that the books of account were maintained in the computer but the computer generated copies were also not furnished for verification. The Tribunal has held that there was a deliberate attempt on the part of the ass....