1996 (7) TMI 32

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.... and set aside the penalty proceedings in their entirety. The assessee is an abkari contractor and the assessment year is 198485 in regard to which a return declaring loss of Rs. 1,05,759 was filed. At the rate of Rs. 18 per litre, the assessee has accounted for sale of arrack at Rs. 45,19,550. The records seized were verified and the assessee was found to be selling arrack at the rate of Rs. 2....

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....whether the penalty proceedings could be justifiably cancelled in its entirety. In our judgment, the Revenue is justified in asking for a reference in this petition under section 256(2) of the Income-tax Act, 1961. We, therefore, direct the Income-tax Appellate Tribunal to prepare the necessary statement of case in detail placing not only the orders on merits, but also all orders of penalty pro....

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....income as stated by the Assessing Officer and is not the above finding wrong, unreasonable and without considering the relevant Explanation ? 3. Whether, on the facts and in the circumstances of the case, and also in the light of the relevant Explanation to section 271(1)(c) and in the absence of any explanation being offered by the assessee ('the assessee did not give any explanation') and the....