TaxTMI 
TaxTMI 
2022 (7) TMI 108
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....43 3 , the books of accounts of the business of the assessee has been rejected by Ld. AO u/s 145(3) and business loss claimed of Rs. 72,63,457 has been disallowed. Infact in the letter of the assessee dated 15/12/2016, the assessee has not raised any objection for rejection of such books and disallowance of claim of loss, which means the assessee has accepted the mistake during assessment proceedings and surrendered before the AO. Still the loss has been rejected and penalty u/s 2711 c has been levied without proving that the assessee has intention of concealing income or furnishing inaccurate particulars of income. The Id. CIT [A] has erred in law by confirming the penalty u/s 271(1)(c) of Rs 22,44,408/- 3. The necessary facts are that t....
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....hundred percent of the amount of tax sought to be evaded. 4. On appeal before the learned CIT-A, the assessee contended that there cannot be any penalty in the event books are rejected and the profits is estimated. It was also submitted that the assessee itself has surrendered the income before the AO and therefore there cannot be any penalty on such income. However, the learned CIT-A did not concur with the arguments advanced by the assessee. According to the learned CIT-A, the assessee has furnished inaccurate particulars of income by claiming bogus loss in order to avoid the payment of tax. Thus the learned CIT-A confirmed the order of the AO. 5. Being aggrieved by the order of the learned CIT-A, the assessee is in appeal before us. 6....
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....axable income under the head short-term capital gain. 8. The controversy arises whether the assessee has furnished inaccurate particulars of income by adjusting the bogus business loss against the taxable short-term capital gain. In this regard, we note that the revenue authorities concurrently have reached the conclusion that there was no business activity carried out by the assessee in the year under consideration. The conclusion arrived by the authorities below wad based on the finding that the assessee in the income tax return has shown sales, purchases and other transaction in the income tax return whereas the assessee in the returns filed under VAT and excise has declared nil turnover. The learned AR at the time of hearing has not co....