TMI Blog2005 (5) TMI 51X X X X Extracts X X X X X X X X Extracts X X X X ..... d. It was a case of disclosure in the return itself by way of note and secondly, the legal position being in favour of the assessee, there did not arise any occasion for the assessee to file the revised return. In any event, when the explanation offered by the assessee was acceptable, then their subsequent conduct in not filing the revised return could not be made basis for imposing the penalty. - - - - - Dated:- 3-5-2005 - Judge(s) : DEEPAK VERMA., A. M. SAPRE. JUDGMENT The judgment of the court was delivered by A.M. Sapre J.- This is an appeal filed by the Commissioner of Income-tax under section 260A of the Income-tax Act, 1961, against an order dated February 26, 1999, passed by the Income-tax Appellate Tribunal in I.T.A. No. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er of Income-tax to the Tribunal, the same was dismissed resulting in upholding of the order passed by the Commissioner of Income-tax (Appeals). It is against this order the Commissioner of Income-tax, (Revenue) has felt aggrieved and filed this appeal. Having heard learned counsel for the parties and having perused the record of the case, we are of the considered view that the appeal has no merit. As a consequence, it is liable to be dismissed resulting in upholding of the view taken by the Tribunal. In our considered opinion, the explanation offered by the assessee did make out a case for dropping the penalty proceedings initiated against them. In other words, it was not a case of furnishing any inaccurate or false particulars in the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ue motive suppressed material claim or/and furnished inaccurate particulars to obtain the benefit of evading the lawful tax payable by them. The motive must be proved without which no case for penalty is made out for every breach. In our considered view, the explanation offered by the assessee was not only bona fide but legally justified. It was rightly accepted by the Commissioner of Income-tax (Appeals) and affirmed by the Tribunal. Learned counsel for the appellant submitted that since the assessee did not file the revised return and hence, it must be presumed that a case of penalty is made out. We do not agree. The filing of the revised return has nothing to do so far as the claim in question is concerned. It was a case of disclosure ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
