TaxTMI 
TaxTMI 
2019 (3) TMI 894
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....ress mentioned in Form No. 36 on 27-11-2018 for 27-12-2018. On the said date Bench did not function, hence, the appeal of the assessee was adjourned for today i.e. 11-03-2019. Despite service of notice none appeared on behalf of the assessee. 3. The assessee in appeal has assailed levy of penalty u/s. 271(1)(c) on legal grounds, as well as on merits. The notice u/s. 148 of the Act was issued to the assessee on 14-02-2011 on the basis of information received from DDIT (Inv.), Unit-1(2), Pune that the assessee has made payment of Rs. 26,00,000/- in cash in the month of April, 2005 for purchase of flats/shops. In response to the said notice, the assessee filed return of income on 28-04-2011 declaring long term capital loss of Rs. 37,62,257/....
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....d not agree with the cost of acquisition adopted by the assessee and hence made reference to the DVO for valuation. The Assessing Officer thereafter determined Long Term Capital Gain sans DVO valuation report by computing indexed cost of acquisition of land at Rs. 11,52,21,488/- on the basis of ready reckoner rate received from Joint Sub-Registrar. The Long Term Capital Gain reworked by the Assessing Officer on sale of land was Rs. 85,78,512/- (Rs.12,38,00,000/- - Rs. 11,52,21,488/-). The Assessing Officer made addition of aforesaid Long Term Capital Gain in the income returned and also initiated penalty proceedings u/s. 271(1)(c) qua the said addition. 3.2 That penalty order u/s. 271(1)(c) was passed by the Assessing Officer on 13-03-20....
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....l Gain is taken at Rs. 85,78,512/-. Penalty proceedings u/s. 271(1)(c) of the I.T. Act, are initiated for concealing the income by filing inaccurate particulars of income." 6. At the time of passing order dated 13-03-2015 levying penalty u/s. 271(1)(c) the Assessing Officer levied penalty on the charge of concealment of income. The relevant extract of the order levying penalty dated 13-03- 2015 is as under : "7. In view of the above, I am, therefore, satisfied that the assessee without any reasonable cause concealed of income to the extent of Rs. 85,78,512/- and committed the default within the meaning of Sec. 271(1)(c) of the I.T. Act, 1961. I, therefore, levy minimum penalty of Rs. 19,21,586/- as against maximum leviable at Rs....
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....e penalty proceedings once he is satisfied in the course of any proceedings that there is concealment of income or furnishing of inaccurate particulars of total income under clause (c). Concealment, furnishing inaccurate particulars of income are different. Thus the Assessing Officer while issuing notice has to come to the conclusion that whether is it a case of concealment of income or is it a case of furnishing of inaccurate particulars. The Apex Court in the case of Ashok Pai reported in 292 ITR 11 at page 19 has held that concealment of income and furnishing inaccurate particulars of income carry different connotations. The Gujrat High Court in the case of MANU ENGINEERING reported in 122 ITR 306 and the Delhi High Court in the case of ....