Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2014 (8) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (8) TMI 806 - AT - Income TaxPenalty u/s 271(1)(c) - Claim of depreciation – Computation of book profits u/s 115JB - Held that:- Even though there was withdrawal of depreciation claimed, it has no effect on the tax computation as the AO determined the tax under the provisions of section 115JB - assessee admitted incomes u/s 115JB - CIT vs. M/s. Nalwa Sons Investment Ltd. [2012 (5) TMI 150 - SUPREME COURT OF INDIA] - penalty u/s 271(1)(c) is not warranted when incomes were accepted u/s 115JB while additions are made in the regular computation - when the computation was made u/s 115JB, the concealment had no role to play and was totally irrelevant - the concealment did not lead to tax evasion at all - penalty could not have been imposed even in respect of the false claim of depreciation made by the assessee - When computation of income was made u/s 115JB, and there was loss under the normal provisions, concealment, if any, did not lead to tax evasion at all and penalty u/s 271(1)(c) could not be imposed - The principles indicated that the withdrawal of a claim in survey proceedings does not attract penalty u/s 271(1)(c) - assessee has bonafide explanation and the assessee tax computation was determined by the AO u/s 115JB, there is no scope for levy of penalty u/s 271(1)(c) – Decided in favour of Assessee.
|