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2016 (12) TMI 940 - ITAT NAGPURLevy of penalty u/s 271(1)(b) - non attendance of the assessee - Held that:- The facts emanating from the orders of the authorities below the assessee was given notice which was served on 11-01-2013 by which the assessee was requested to attend and submit the details on 15-01-2013. It was this non attendance of the assessee against which penalty u/s 271(1)(b) was levied. On 15-02-2013 a show cause letter was issued which was served on 18-02-2013 in response to which the assessee submitted a reply. Thereafter assessment order u/s 143(3) was passed. Now perusal of the facts clearly indicate that this was a case of search and seizure on a big group. Four days time to submit details in such a case is not at all reasonable from any stretch of imagination. Further more the assessee did reply to the subsequent show cause notice and assessment was framed u/s 143(3) of the I.T. Act. This has also to be looked into on the anvil of assessee's submission that the AO has refused the assessee recording of attendance on the specified date and for which the assessee has petitioned to higher authorities.In these circumstances, in our opinion, there was a reasonable cause for non attendance of the assessee. Hence on the anvil of section 273B penalty is not leviable. As the above fact clearly indicates it is a technical breach and in such circumstances, as held by Hon'ble Apex Court in the case of Hindustan Steel Ltd. vs. State of Orissa [1969 (8) TMI 31 - SUPREME Court] penalty need not be levied. Hence in the background of aforesaid discussion and precedent have no hesitation in deleting the levy of penalty. - Decided in favour of assessee
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