2019 (7) TMI 289

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....he manufacturing of Front Grill, Instrument Panel, Spair, Wheel Cover, Seat Foam etc. Assessee filed its return of income on 30.09.2012 for A.Y. 2012-13 declaring total income at Rs. 2,63,47,430/-. The case was selected for scrutiny and thereafter assessment was framed u/s 143(3) of the Act vide order dt.23.02.2015 and the total income was assessed at Rs. 2,82,85,502/- inter-alia by making various disallowances including disallowance of Rs. 17,79,699/- which was not capitalized to plant and machinery by the assessee. On such disallowance of Rs. 17,79,699/- AO vide order dt.27.08.2015 passed u/s 271(1)(c) of the Act levied penalty of Rs. 5,77,430/-. Aggrieved with the penalty order of AO, assessee carried the matter before Ld.CIT(A), who vid....

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....accurate particulars of income" as well as for "concealment of income" i.e., for both the limbs. He therefore relying on the decision of Hon'ble Bombay High Court in the case of CIT Vs. Samson Perinchery reported in (2017) 392 ITR 4 (Bom) submitted that when passing assessment order no satisfaction for levy of penalty was recorded but in the penalty order when penalty was levied for concealment of income as well as for furnishing of inaccurate particulars of income, then in the absence of proper show cause notice to assessee and in the absence of recording of proper satisfaction, penalty u/s 271(1)(c) cannot be levied. He therefore submitted that penalty levied by AO be deleted. Ld.D.R. on the other hand, supported the order of lower author....