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2024 (5) TMI 781 - DELHI HIGH COURTPenalty proceedings u/s 271(1) (c) - ITAT remanded mater to the AO to re-examine the question of Section 271(1)(c) - HELD THAT:- What appears to have weighed upon the ITAT was a failure on the part of the appellant to indicate in the original notice the particular limb of Section 271(1)(c) which was sought to be invoked. We note that the imperatives of such a procedure being adhered to and being ex facie evident from a reading of the show cause notice itself was one which was emphasised by this Court in Blackroak Securities Pvt. Ltd. [2023 (12) TMI 714 - DELHI HIGH COURT] as held AO is required to apply his mind to the material and indicate, clearly, to the assessee what is being put against him. In other words, which limb of Section 271(1)(c) of the Act is attracted in the given facts and circumstances of the case. It is our view, that this clarity would be necessary as the pecuniary burden that the assessee may be mulct with could vary, depending on the infraction committed by him. Thus, in the given case, where concealment has taken place, a heavier burden may be imposed, as compared to the situation where the assessee furnishes inaccurate particulars. We may also make it clear that there may be circumstances where both limbs are attracted. If that is the situation, the notice should allude to this aspect. No justification to entertain the instant appeal.
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