Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2013 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2013 (3) TMI 198 - AT - Income TaxPenalty u/s 271(1)(c) - commodity futures trading and broking - client code modifications - unauthorised modification in the code - held that:- there is a modification of the Clients’ code in the transactions and considering the nature of the trade involved, in our opinion, the explanation of the assessee appears to be bona fide. - A.O. has not taken any pains to negativate the explanation of the assessee as to why the same should be treated as not bona fide or genuine. - The Director of the company, in his statement given to the A.O. has kept the consistent stand in the explanation that how the code modification is done even in the large number of the transactions without knowledge of the client by the dishonest dealers for getting a short benefit. The assessee has taken legal actions the dishonest dealers and it’s employees. That support the contention of the assesse that the dealers were involved in the malpractices by doing unauthorised client code modifications. - This is not a case where conscious and dishonest conduct of the assesse has been proved. The word ‘conceal’ contemplates conscious act and same has to be proved even after different explanations added to Sec. 271(1)(c) as stand today. - No penalty - Decided in favor of assessee.
|