TMI Blog2012 (10) TMI 853X X X X Extracts X X X X X X X X Extracts X X X X ..... t. Thus, no substance in the contention of the assessee that the disclosure of additional income while revising the computation of income was voluntary - the mistakes committed in not disclosing the above additional income in its return of income originally filed, was not bona fide to extend the benefit of Explanation-1 to section 271(1)(c) to the assessee - against assessee. - I.T.A .No.-1250/Del/2012 - - - Dated:- 19-10-2012 - SHRI I.C. SUDHIR, AND SHRI A.N. PAHUJA, JJ. Appellant by: Sh. Sanjeev Sapra, FCA Respondent by: Dr. Prabha Kant, Sr. DR. ORDER PER I.C.SUDHIR, JM The assessee has impugned First Appellate Order whereby the Ld. CIT(A) has sustained the levy of penalty at Rs.3,24,840/- made by the Assessing O ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessable income for computing total income/loss for the year. Such interest expenditure of Rs.2,13,206/- was also offered by the assessee for taxation. Accordingly, the revised statement of assessable income was filed. The Assessing Officer concluded that the assessee had come up to declare additional income only after selection of the case in scrutiny, after service of notice u/s 143(2)/142(1) of the Act and after raising the specific queries with reference to the expenses claimed by it in the Profit Loss Account. The revised computation after, re-computing the income for the previous year at Rs.(-)1,34,534/- for the previous year was also filed by the assessee beyond the time stipulated u/s 139(4) of the Act. Keeping all these facts ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d was duly rectified voluntarily in the case by suo-moto filing revised computation of income could not be made the basis for initiation penal proceedings. The Ld. AR also pointed out that during scrutiny proceedings, the assessee vide its letter dated 28.08.2009 had filed a revised statement of assessable income whereby the inadvertent error made while filing the return was voluntarily offered to be added back and accordingly the ROC fee of Rs.7,51,850/- and interest expenditure of Rs.2,13,206/- was reduced from the loss as originally declared. He submitted further that assessment u/s 143(3) of the Act has been completed on 11.11.2009 at a net loss of Rs.13,45,534/- as was declared in the revised statement of assessable income. He also pla ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... income have been disclosed by it, an assessee can take benefit of Explanation 1 to section 271(1)(c) of the Act to support its plea that the penal action u/s 271(1)(c) is not attracted for the alleged concealment of income or furnishing inaccurate particulars thereof. Thus the moot question before us is as to whether the explanation furnished by the assessee regarding the non-disclosure of ROC fee of Rs.7,51,850/- and interest expenditure of Rs.2,13,206/- was bona fide or not. On consideration of the facts of the present case in totality, we are unable to convince ourselves with the explanation of the assessee that non-disclosure of both the above income was indeed due to inadvertence on the part of the assessee and thus the mistake was b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e assessee would not be liable to imposition of penalty, even if he was not acting bona fide while making a claim of this nature, that would give a licence to unscrupulous assessees to make wholly untenable and unsustainable claims without there being any basis for making them. in the hope that their return would not be picked up for scrutiny and they would be assessed on the basis of self-assessment under section 143(1) of the Act and even if their case is selected for scrutiny. they can get away merely by paying the tax, which in any case, was payable by them. The consequence would be that the persons who make claims of this nature. actuated by a mala fide intention to evade tax otherwise payable by them would get away without paying th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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