TMI Blog1979 (7) TMI 223X X X X Extracts X X X X X X X X Extracts X X X X ..... er section 15-A(1)(b) were initiated as the assessee had concealed its turnover and deliberately furnished inaccurate particulars. Against imposition of penalty the assessee filed an appeal which was allowed and the case was sent back for decision afresh. After remand fresh order imposing penalty was passed which was maintained in appeal although turnover was reduced. In revision it was held that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... necessary ingredients of concealment and deliberate furnishing of inaccurate particulars is on the department. The penalty proceedings are not continuation of the assessment proceedings. They are independent and have to be decided on independent evidence. In income-tax matters the view taken by this Court was that penalty proceedings are also assessment proceedings. This was not approved by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eedings for determining or computing the tax is conclusive. However it is good evidence. Before penalty could be imposed the entirety of circumstances must reasonably point to the conclusion that the disputed amount represented income and that the assessee had consciously concealed the particulars of his income or had deliberately furnished inaccurate particulars. If the argument of the standing c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed he drew an inference that other circumstances to impose penalty were present. This was contrary to accepted principles of imposition of penalty. It could not be assumed that the turnover was concealed as the assessee failed to satisfy that the entries in papers seized at the time of survey were incorrect. In the result, this revision succeeds and is allowed. The order passed by the revising a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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