TaxTMI 
TaxTMI 
2026 (5) TMI 1257
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....13.06.2025 passed u/s 270A of the Act pertaining to Assessment Year 2019-20. 2. Although number of grounds have been raised by the assessee, however, all these are related against the order of ld. CIT(A) in confirming the levy of penalty of Rs. 3,74,072/- by the Assessing Officer u/s 270A of the Act. 3. Facts of the case, in brief, are that the assessee is an individual. On the basis of information available, the assessee had received salary income of more than Rs. 30.00 lacs, but has not filed the return of income for the impugned assessment year. The case of the assessee was re-opened as per the provisions of section 147 of the Act after passing the order us/ 148A(d) of the Act on 19.04.2023 and thereafter, issued the notice u/s 148....
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....ssee is in appeal before the Tribunal by taking various grounds of appeal mentioned in the appeal memo. 7. At the time of hearing, no one appeared on behalf of the assessee however, in alongwith appeal memo, assessee has stated as under: Facts of the Case: 1. I was employed during the Financial Year 2018-19, and during the course of the year, I changed my job. 2. Due to this change, I was unable to obtain all the relevant documents, especially Form 16 from both employers, before the due date for filing the return under Section 139(1). 3. Further, I was under the impression that the tax deducted at source (TDS) as seen in my Form 26AS was correctly deposited and my total income was duly reported by both....
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.... No Revenue Loss or Malafide Intent: There was no concealment of income, suppression of facts, or evasion of tax. The entire income was voluntarily disclosed and taxes were already deducted at source. 6. Natural Justice and Fairness: Levying a penalty in this situation would amount to punishing a genuine taxpayer for an unintentional delay, despite full cooperation and honest disclosure. 7. ⁠ Sekhon Jagtar Singh, Bangalore vs Income Tax Officer, Ward- 5(3)(5), ... on 21 August, 2024:- the Income Tax Appellate Tribunal, Bangalore Bench, after careful consideration of the facts, submissions, and legal provisions, has held that the assessee, Sekhon Jagtar Singh, failed to file his return of income under a bona ....
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.... no occasion to file return of income. 10. Before proceedings further, it would be useful to reproduce the relevant extract of under reporting of income as per sub section (1), (2),(6) and (7) of Section 270A of the Act for ready reference:- "(1) The Assessing Officer or the Commissioner (Appeals) or the Principal Commissioner or Commissioner may, during the course of any proceedings under this Act, direct that any person who has under reported his income shall be liable to pay a penalty in addition to tax, if any, on the under-reported income. (2) A person shall be considered to have under-reported his income, if- (a) the income assessed is greater than the income determined in the return processed under claus....
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....he Assessing Officer or 29-30 [the Joint Commissioner (Appeals) or] the Commissioner (Appeals) or the Commissioner or the Principal Commissioner, as the case may be, is satisfied that the explanation is bona fide and the assessee has disclosed all the material facts to substantiate the explanation offered; (b) the amount of under-reported income determined on the basis of an estimate, if the accounts are correct and complete to the satisfaction of the Assessing Officer or 29-30 [the Joint Commissioner (Appeals) or] the Commissioner (Appeals) or the Commissioner or the Principal Commissioner, as the case may be, but the method employed is such that the income cannot properly be deduced therefrom; (c) the amount of under-rep....
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....resentation" denotes not just written or spoken words but also any other conduct that amounts to a false assertion. The assertion so made, an assertion that does not accord with the facts is also termed false representation. 12. Now the issue for consideration before us is that in view of the peculiar facts of the present case, as applied to the relevant statutory provisions are reproduced above, whether can the assessee claim the benefit of sub-Section (6) of the Act which is to the effect that the assessee has been able to provide the reasonable explanation for such non-disclosure regarding salary and interest income by not filing of return of income or is a misrepresentation of facts. It is not in dispute that the Assessee is a non-fi....