TaxTMI 
TaxTMI 
2019 (3) TMI 1352
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....Rs. 75,145/-, other income were already shown buy the appellant in the return filed u/s 153A suomotto as per his own will and paid the taxes due as per return and hence, penalty for concealment is not imposable in this case. 2. That the appellant craves leave to add, to urge, to alter or to amend any of the ground of appeal on or before the date of hearing" Assessment Year 2008-09 "1. That on the facts and circumstances of the case, the Ld.CIT(Appeals) erred in confirming the penalty of Rs. 36,70,000/- imposed u/s 271(1)(c) of the Act without considering the fact that except addition for household expenses of Rs. 97,600/- and deposit in bank account Rs. 21,000/-, other income were already shown buy the appellant in the return filed u/s 153A suomotto as per his own will and paid the taxes due as per return and hence, penalty for concealment is not imposable in this case. 2. That the appellant craves leave to add, to urge, to alter or to amend any of the ground of appeal on or before the date of hearing" 3. Assessee has raised following additions legal grounds; 1. That the appellant prays leave of this Hon'ble Tribunal to urge the following additional grounds in....
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....tion. 6. Briefly stated facts as culled out from the records are that the assessee is an individual and derives income from property consultancy and income from other sources. A search was conducted at the assessee's premises on 26.09.2008. Notices u/s 153A was issued and served upon the assessee on 05.10.2009 and in pursuance to it the assessee had filed its return of income declaring total income at Rs. 25,03,330/- and Rs. 1,09,744/- for Assessment year 2006-07 & 2008-09 respectively. The Assessee further revised the return of income on 13.12.2010 declaring total income at Rs. 56,66,744/- for Assessment Year 2008-09. The assessment was completed at the total income of Rs. 26,03,475/- and Rs. 55,69,344/- after making various additions for Assessment Year 2006-07 & 2008-09 respectively u/s 153A r.w.s. 143(3) of the Act. Aggrieved assessee preferred appeals before Ld. CIT(A) and partly succeeded. Subsequently after initiating penalty proceedings u/s 271(1)(c) of the Act penalty at Rs. 16,50,000/- and Rs. 36,70,000/- for Assessment Years 2006-07 & 2008-09 was imposed for concealing the income by furnishing wrong particulars of income. Aggrieved assessee preferred an appeal before ....
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....ngs u/s 271(1)(c) of the Act for Assessment Year 2006-07 and 2008-09. For reference we reproduce below the notice u/s 274 of the Act for Assessment Year 2006-07; Bhopal Dated 30/10/2012 PENALTY NOTICE u/s 271(1)(c) OF INCOME TAX ACT, 1961 PAN BGYPK0131M To Shri Usman Khan, Near Victor School Behind Nagar Nigam, Bhodapur, Gwalior Sir / Madam, Sub:- Penalty proceeding u/s .. 271( 1 ) ( c) .. of the Income Tax Act 1961 for the AY 2006-07 In connection with the penalty proceedings u/s, 271(1) (c) for the assessment year(s) 2006-07 you are requested to attend my office on 08.11.2011 at 11.00 AM to show cause why penalty should not be imposed. However. if you do not wish to be heard in person in this regard, you may submit your written submissions so as to reach me by the above date which will be considered before disposal of the matter. Sd/- ( Poonam Rai ) Deputy GommissfsonerOf1ncome Tax-1(1}, Bhopal Bhopal 12. From perusal of the above show cause notices we find that the Ld.A.O has merely mentioned the section but the specific charge i.e. whether the penalty have been initiated for concealment of particulars....
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....er. if you do not wish to be heard in person in this regard, you may submit your written submissions so as to reach me by the above date which will be considered before disposal of the matter. Sd/- ( Shrlkant Namdeo ) Deputy GommissfsonerOf1ncome Tax-1(1}, Bhopal Bhopal 13. From perusal of the above show cause notice we find that the Ld.A.O has merely mentioned the section but the specific charge i.e. whether the penalty have been initiated for concealment of particulars of income or for furnishing inaccurate particulars of income has not been mentioned. Now whether such type of notice which does not speak about the specific charge leveled against the assessee is valid and tenable in the eyes of law needs to be examined. 14. We find that similar issue came up before the jurisdictional High Court in the case of Shri Kulwant Singh Bhatia (supra) wherein the Hon'ble Court discussed the judgment of Hon'ble High Court in the case of CIT V/s Manjunatha Cotton Ginning Factory (supra) and CIT V/s SSA's Emeralad Meadows (supra) held that "on due consideration of the arguments of the Ld. counsel for the appellant, so also considering the fact that the ground mention....