TaxTMI 
TaxTMI 
2023 (3) TMI 763
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....b) of the Income Tax Act, 1961 (hereinafter referred to as 'the Act') relating to the Assessment Year (A.Y) 2016-17. As common issue of Penalty u/s. 271(1)(b) is involved in all the five cases and facts are identical the same are disposed of by this common order. 2. The brief facts of the case is that the assessee is a Firm engaged in the business of construction activities. For the Assessment Year 2016-17, the assessee filed its Return of Income on 13.10.2016 declaring total income of Rs.13,870/-. The case was selected for scrutiny assessment and 142(1) notices were issued on various dates. However the assessee could not file the details immediately but filed the same belatedly since the Accountant of the Firm was away from the town for....
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....A) dismissed the appeals filed by the assessee. 5. Aggrieved against the same, the assessee is in appeal before us raising the following Grounds of Appeal: 1] The grounds raised in this appeal are without prejudice to one another. 2] The Ld. CIT[A] grievously erred in retaining the penalty of Rs.10,000/- levied by the Ld. A.O. On the facts and circumstances of the case it is respectfully submitted that penalty of Rs.10,000/- levied by the Ld. A.O. and retained by the Ld. CIT[A] ought to be deleted. This penalty is for the alleged default of hearing dtd. 14/06/2018. 3] This was for the reason that the accountant of the assessee who used to write the books from his home was out of Gujarat and the accounting mater....
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....se of assessment proceedings the same where such as were not in the control of the assessee and the same relates to unsecured loans. However, the assessee had furnished the PAN, confirmation, addresses etc. including bank statements of the depositors and if the Ld. A.O. wanted further details the same could have been obtained by exercising the powers vested with him. 6](b) However, this was stated in the submissions made to the Ld. A.O. and such non-filing of the details though could attract addition could not justify assessment u/s.144 and in view of that as there was sufficient compliance on the part of the assessee the earlier defaults are deemed to have been condoned. 6](c) It is respectfully submitted that the assesse....
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....8. [c] Dtd.07/12/2018 filed in response to notice of A.O.dtd.07/06/2018. [d] Dtd.19/12/2018 filed in response to notice of A.O.dtd.12/11/2018. [e] Dtd.20/12/2018 filed in response to notice of A.O.dtd.12/11/2018. 6](a) The fact is that the assessee had complied to the various notices and filed voluminous submissions in the course of assessment proceedings and therefore the assessment order passed u/s.144 was not called for on the facts of the case and was not in accordance with Jaw; as such, though the additions could be sustained this was not a case for assessment u/s.144. In respect of those details which the assessee could furnish in the course of assessment proceedings the same where such as were not ....
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.... 5. Per contra Ld. D.R. appearing for the Revenue submitted that though the assessee has not responded to the u/s. 142(1) notices, the assessee neither responded to the notices nor filed any adjournment letter before the A.O. Therefore it is a clear cut case of levying penalty for non-compliance of the notice issued by the A.O. u/s. 271(1)(b) of the Act. However, the Ld. D.R. could not contravent the submissions and details filed by the assessee before completion of assessment. 6. We have given our thoughtful consideration and perused the materials available on record including the written submission filed by the assessee. It is an undisputed fact that the assessee though not complied to the 142(1) notices, however before completion of a....
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....se (b), in addition to tax, if any, payable by him, a sum of ten thousand rupees for each such failure ; 273B. Penalty not to be imposed in certain cases: Notwithstanding anything contained in the provisions of clause (b) of sub-section (1) of section 271, section 271A, section 271AA, section 271B, section 271BA, section 271BB, section 271C, section 271CA, section 271D, section 271E, section 271F, section 271FA, section 271FAB, section 271FB, section 271G, section 271GA, section 271GB, section 271H, section 271-I, section 271J, clause (c) or clause (d) of sub-section (1) or sub-section (2) of section 272A, sub-section (1) of section 272AA or section 272B or sub-section (1) or sub-section (1A) of section 272BB or sub-sectio....