2023 (12) TMI 1266

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.... Counsel for the Income Tax Department. 2. The present writ petition has been filed impugning the order in Ext. P11, whereby the petitioner's application in Ext. P3 filed under Section 270AA of the Income Tax Act, 1961 ["Act", for short] seeking immunity from imposition of penalty in pursuance to the assessment order in Ext.P1 has been rejected, on the ground that the case is not eligible to be considered for grant of immunity from imposition of penalty as the facts of the case are covered under sub-Section (9) of Section 270A of the Act. 3. Section 270AA of the Act laid down the provisions for immunity from imposition of penalty, etc. The said Section, on reproduction, reads thus: "270AA. Immunity from imposition of pena....

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....ion (1) is received, pass an order accepting or rejecting such application: Provided that no order rejecting the application shall be passed unless the assessee has been given an opportunity of being heard. (5) The order made under sub-section (4) shall be final. (6) No appeal under section 246A or an application for revision under section 264 shall be admissible against the order of assessment or reassessment, referred to in clause (a) of sub-section (1), in a case where an order under sub-section (4) has been made accepting the application." 4. Thus, the assessing officer has to process the application under Section 270AA of the Act seeking immunity from imposition of penalty, inter alia, only if the case doe....

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....facts claiming deduction of expenses, which were already self disallowed, and therefore, it was a fit case for penalty proceedings under Section 270A of the Act. It was also stated that penalty proceedings should be initiated separately under sub-Section (9) of Section 270A of the Act. Paragraph No. 3.10 of the assessment order dated 24.9.2022 in Ext. P1 is reproduced hereunder: "3.10 Accordingly, the facts and representation of the assessee in computation of income and its Return of income is not just under-reporting of income, but under reporting of income on account of specific misrepresentation of facts and claiming the deduction of expenses which are already self-disallowed, is fit case for initiation of Penalty proceedings....