2016 (6) TMI 1349

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....filed by the assessee is directed against the order passed by the CIT(A) on 22.10.2013 upholding the penalty of Rs. 10,62,120/- imposed by the AO u/s 271(1)(c) of the Income-tax Act, 1961 (hereinafter also called 'the Act') in relation to the assessment year 2007-08 2. Briefly stated, the facts of the case are that the assessee purchased timber from abroad, the price of which depended upon the ....

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.... record. It is observed that the AO has simply rejected the books of account and made an estimate of profit rate of 4.9% to work out an addition of Rs. 35.40 lac on which the instant penalty has been imposed. The tribunal, vide its order dated January, 2015, reduced the rate of profit from 4.90% to 3.53%. Apart from this estimate made by the AO, there is nothing to show that the assessee suppresse....