TaxTMI 
TaxTMI 
2018 (10) TMI 371
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....ssment year Block Period 01.04.1989 to 22.03.2000. 2.This appeal has been admitted on 09.07.2008, on the following substantial question of law: "Whether on the facts and in the circumstances of the case, the Tribunal is right in confirming the levy of penalty under Section 158BFA(2) of the Income Tax Act?" 3.Heard Mrs.Sree Lakshmi Valli, the learned counsel for the appellant and Mrs.K.G.Usha Rani, learned Junior Standing Counsel for the respondent. 4.The short question, which falls for consideration, is whether the computation of the undisclosed income for the purpose of invoking the Second Proviso to Section 158BFA of the Act is proper and justified. 5.The learned counsel for the assessee vehemently contended that the ....
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.... undisclosed income, determined under clause (c) of section 158BC, for every month or part of a month comprised in the period commencing on the day immediately following the expiry of the time specified in the notice, and- (a) where the return is furnished after the expiry of the time aforesaid, ending on the date of furnishing the return; or (b) where no return has been furnished, on the date of completion of assessment under clause (c) of section 158BC. (2) The Assessing Officer or the Commissioner (Appeals) in the course of any proceedings under this Chapter, may direct that a person shall pay by way of penalty a sum which shall not be less than the amount of tax leviable but which shall not exceed three times ....
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....e 20[Joint] Director, as the case may be; (c) in a case where the assessment is the subject-matter of an appeal to the Commissioner (Appeals) under section 246 21[or section 246A] or an appeal to the Appellate Tribunal under section 253, after the expiry of the financial year in which the proceedings, in the course of which action for the imposition of penalty has been initiated, are completed, or six months from the end of the month in which the order of the Commissioner (Appeals) or, as the case may be, the Appellate Tribunal is received by the Chief Commissioner or the Commissioner, whichever period expires later; (d) in a case where the assessment is the subject-matter of revision under section 263, after the expiry of....
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....basis of the evidence discovered during the search. 9.The Assessing Officer while passing the penalty order dated 27.03.2003, has recorded a finding that the block assessment was finalised after considering the seized materials, details furnished by the assessee and making enquiries. The assessment order dated 28.06.2002, which was completed under Section 158BC of the Act, gives the full details. 10.We find that more than 19 hearings took place before the assessment was drawn. It may not be necessary for this Court to refer to all the statements, which were recorded and the materials, which were called for and placed before the Assessing Officer but, it would suffice to state that there are abundant references in the assessment order ....