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2018 (6) TMI 1792 - ITAT MUMBAILevy of penalty u/s 271D - assessee failed to establish the compelling reason or genuine business constraint or reasonable cause for having connection in respect of each and every journal entry with its group concern - genuineness of the transaction made through journal entries - HELD THAT:- As the co-ordinate bench in assessee’s group case in DCIT v. National Standard India Ltd. [2018 (7) TMI 1828 - ITAT MUMBAI] while referring the decision of Hon’ble jurisdictional High Court in CIT v. Ajitnath Hi-Tech Builders Pvt. Ltd.[2018 (2) TMI 603 - BOMBAY HIGH COURT] held that the journal entries passed prior to 12.06.2012, the date on which Bombay High Court in case of CIT v. Trumph International Finance (I) Ltd. was pronounced. Therefore, prior to 12.06.2012 it can be safely concluded, wherein the assessee under the bonafide belief, passed journal entry, could not be subject to penalties under section 271D & 271E. Considering the decision in case of CIT v Ajitnath Hi-Tech Builders Pvt. Ltd.(supra) and Tribunal’s orders in assessee’s group case in National Standard India [2018 (7) TMI 1828 - ITAT MUMBAI] and M/s Aashthavinayak Estate Company Ltd. [2018 (5) TMI 1745 - ITAT MUMBAI] we do not find any reason to interfere with the finding of ld. Commissioner (Appeals). Appeal filed by Revenue is dismissed.
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