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2013 (10) TMI 1022 - HC - Income TaxWhether penalty under section 271(1)(c) of the Income-tax Act cannot be levied in a case where the assessed income is a loss – Held that:- Reliance has been placed on Division Bench judgment of the Supreme Court in CIT v. Gold Coin Health Food P. Ltd. [2008 (8) TMI 5 - SUPREME COURT], wherein it was held that Explanation 4(a) to section 271(1)(c) intended to levy the penalty not only in a case where after addition of concealed income, a loss returned, after assessment becomes positive income but also in a case where addition of concealed income reduces the returned loss and finally the assessed income is also a loss or a minus figure. Therefore, even during the period between April 1, 1976 and April 1, 2003, the position was that the penalty was leviable even in a case where addition of concealed income reduces the returned loss - The ratio in Gold Coin Health Food P. Ltd., therefore, would leave no scope for us except to hold that penalty under section 271(1)(c) of the Act would be attracted and can be levied even in a case where the assessed income is a loss – Decided in favor of Revenue.
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