Home Case Index All Cases Income Tax Income Tax + HC Income Tax - 2011 (9) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2011 (9) TMI 189 - HC - Income TaxPenalty levied under sections 271D/271E r/w sections 269SS and 269T - Genuineness of transaction - The transactions recorded were genuine and in fact the declaration made by the assessee have been accepted without making any additions in the block assessment order - Held that:- While upholding the constitutional validity of sections 269(SS), the Apex Court in the case of Asst. Director of Inspection (Investigation) vs. Kumari A.B. Shanti (2002 -TMI - 6077 - SUPREME Court) has held that the main object of section 269(SS) was to curb the menace of making false entries in the books and later on give explanation for the same. - Moreover, s.273B of the Income Tax Act, 1961 provides that if there is a genuine and bonafide transaction then, the Assessing Officer is vested with a discretionary power not to impose penalty - Therefore, the decision of the ITAT in holding that the Assessee has shown reasonable cause for not complying with the provisions of s.267SS and 269T cannot be faulted.
|