2012 (5) TMI 885

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....missions forwarded are taken into consideration. We have heard the ld. DR and perused the findings of the authorities below and material on record. Earlier, this appeal was dismissed in default, which was recalled by allowing M.A. of the assessee on 20.04.2012 and the appeal was re-fixed for hearing on merits. 3. Briefly, the facts of the case are that the return of income was filed declaring nil income on 28.10.1991. The AO passed ex-parte assessment order on dated 25.03.1994 u/s. 144 of the IT Act determining total income at Rs. 37,90,246/-. The penalty proceedings were initiated u/s. 271(1)(b) for non compliance of the notice u/s. 143(2). The assessee preferred appeal before the ld. CIT(A), who dismissed the appeal of the assessee vid....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nce has been furnished to prove the same. Accordingly, penalty order was confirmed and appeal of the assessee has been dismissed. 4. In the written submissions, it is stated that the ex-parte assessment order dated 25.03.1994 was challenged before the ld. CIT(A), who has dismissed the appeal of the assessee vide order dated 15.11.2006. The order of the ld. CIT(A) was challenged before the ITAT, Agra Bench, which was set aside vide order dated 20.06.2008 and the matter was restored to AO for fresh consideration. The AO in the set aside proceedings, passed the assessment order u/s. 143(3) for the year under consideration vide order dated 30.10.2009, copy of the same is filed with the written submission to show that the income of the assess....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....n which the order of CIT(A) is received by the Chief Commissioner or Commissioner which is the later date in this case. The ld. DR, therefore, submitted that the penalty order has been passed within the period of limitation. 6. We have considered the rival submissions, as noted above, and perused the findings of the authorities below. Section 271(1)(b) of the IT Act provides if the AO or the Commissioner (Appeals) or the Commissioner in the course of any proceedings under this Act is satisfied that any person has failed to comply with the notices u/s.115WD, 115WE or u/s. 142(1) or 143(2) and on such failure, he may be directed to pay by way of penalty. Section 273B of the Act provides that penalty be not imposed in certain cases includin....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....y notices. Nothing adverse could be presumed against the assessee. Further, the exparte order is ultimately set aside by the Tribunal and the matter was restored to the file of the AO for passing the order afresh vide order dated 20.06.2008 and the AO in the set aside proceedings passed the order u/s. 143(3) of the Act on 30.10.2009, copy of which is placed on record and computed the income at nil. The assessee made compliance of the statutory notices in the set aside proceedings and produced entire material before the AO. Therefore, the addition made in the exparte assessment was not again made in the fresh assessment order. The income of the assessee was also found exempt. Considering the facts and circumstances, noted above and the above....