TaxTMI 
TaxTMI 
2024 (5) TMI 1528
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.... 131(1) issued by Income Tax Authority for recoding the statement of any person. 2. Brief facts leading to levy of penalty under section 272A(1)(c) are that a search action under section132 was carried out by investigation wing of Surat on 18.02.2016 on Laxmipati Group in Surat. In the search action Dilip Sojitra was also covered. Dilip Sojitra was an individual and engaged in the business of real estate, brokerage and financing. The assessee was working as accountant of Dilip Sojitra and his group. The assessee was also covered in the search action. In the search action various incriminating material was found and seized from various business places of searched persons. During post search proceedings, DDIT(Inv.)-1, Surat issued summons un....
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.... assessee submits that the Assessing Officer has not made any addition in the quantum assessment. The ld AR for the assessee submits that he has always cooperated with the investigation wing in the search action or in the post search action. The assessee never defaulted in attending the summons of the investigation team. The statement of the assessee was recorded on 15.12.2015. Once the assessee made statement in compliance no cause of action for levying penalty would survive. There is no basis for levying penalty for each and every non-compliance of alleged notices. In alternative and without prejudice submissions, the ld. AR for the assessee submits that to avoid the long drawn process of litigation, he has no objection if the order of pe....
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....t it was sent through notice server, the assessee "refused" to accept summon. And for remaining three occasions, the AO recorded that assessee "neither complied nor submitted any adjournment". We find that there is no independent satisfaction of the AO or the ld CIT(A) that they are satisfied with the report about the service of summon on assessee. Both the lower authority proceeded to accept the report of process server or postal authority, without recording their independent satisfaction about the service of summon on assessee for the dates fixed. 7. The Hon'ble Apex Court in Hindustan Steel Ltd. Vs State of Orissa [1972] / 83 ITR 26 has held that an order imposing penalty for failure to carry out a statutory obligation is the result of ....
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....ee vehemently argued that the assessee submits that assessee always cooperated with the investigation wing in the search action or in the post search action. The assessee never defaulted in attending the summons of the investigation team, the statement of the assessee was recorded on 15.12.2015. And that once the assessee made statement in compliance no cause of action for levying penalty would survive. Copy of statement of assessee recorded by investigation wing on 15.12.2015 is also placed on record. Considering overall facts and circumstances of the case, we find that it is not a case of complete non-compliance on the part of the assessee as the assessee attended the officer of investigation wing and given his statement. Thus, levying pe....