2019 (2) TMI 521

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.... addition on the condition that no penalty proceeding shall be initiated against him. Therefore the impugned penalty amounts to breach of condition on the part of AO, and as such, liable to be annulled. 2. The Ld. CIT appeal erred in not considering the fact that the Ld. AO did not consider the written submission filed by the appellant and passed the impugned penalty order mechanically and therefore the same is contrary to law and factually incorrect. 3. The Ld. CIT appeal also failed to consider that the appellant was under bonafide belief that the transaction of land in question is exempt from taxation, since the status thereof is agricultural land in revenue records, and as such, the non-disclosure of profit there from is due to ig....

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....amp duty for sale of land. In compliance, the assessee could not establish the claim of agricultural land with credible documents as the land was situated within the municipal limits, as per the provision of the section. 4. After considering the above expenses, the assesses has determined the STCG at Rs. 10,54,600/- and offered the same for taxation, vide letter dated 02.03.2013. The AO. however, determined the value of the capital gain at Rs. 16,51,680/- and assessed the income at Rs. 23,01,680/-, as against the returned income of Rs. 6,50,000/- and also initiated the penalty proceedings u/s 271(l)(c) of the Act. The assessee did not challenge the above order of the AO. Accordingly, a letter was issued to the assessee to show-cause as why....