2023 (4) TMI 945

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....le confirming the penalty imposed u/s 271(1)(c) of the Income Tax Act, 1961. 2. Under the facts and circumstance of the case learned CIT appeal was not justified while confirming the penalty u/s 271(1)(c) without ensuring the service of notice which were never received by the appellant. 3. Under the facts and circumstance of the case learned CIT appeal not justified while confirming the penalty amounting to Rs. 1,40,600/- u/s 271(1)(c). 4. The assessee craves leave to add/alter any of the ground of appeal before or at the time of hearing. The appeal filed by the assessee is delayed by 1 (one) day. The ld. A/R for the assessee has filed an application dated 18.06.2022 explaining the reasons for filing the appeal....

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....1(1)(c) of the Act was defective as procedures laid down in section 274 has not been followed, therefore, the penalty proceedings deserves to be held as invalid and void ab initio. Referring to the show cause notice dated 19.12.2016, the ld. A/R submitted that the AO has not specified the limb and default for which the penalty under section 271(1)(c) was initiated. The ld. A/R has thus contended that when the AO was not sure about the default of the assessee then the penalty order passed under section 271(1)(c) is not valid and liable to be quashed. In support of his contention, the ld. A/R submitted that the case of the assessee stands squarely covered by the decision of Kolkata Bench of the Tribunal in the case of Anchal Towers Pvt. Ltd. ....

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....s concealment of particulars of income or furnishing inaccurate particulars of income. As regards the satisfaction recorded by the AO in the assessment order, it does not support the case of the revenue as the AO has stated that the penalty proceedings are initiated for inaccurate particulars whereas in the case in hand when the income was not at all declared in the return of income, then it is a case of concealment of particulars of income and not furnishing inaccurate particulars of income. In the penalty order, the AO has again stated in para 6 as under :- " 6. In view of the above discussion, it is established that the assessee has furnished inaccurate particulars of income without any reasonable cause and liable for penalty in....