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2015 (5) TMI 2 - HC - Income TaxPenalty u/s.158BFA(2) - Assessee has failed to pay the tax in its entirety on the undisclosed income - ITAT deleted penalty levy - Held that:- From the record, it is clear that in the present case, the assessee had paid ₹ 7,36,000/- earlier, which was nearly 60 per cent of the total demand, i.e. ₹ 12,83,293/-, made by the Revenue, whereas, later on the assessee paid ₹ 8,86,033/-in installments, which included the balance demand amount as well as the interest accrued, thereon. We are, therefore, of the opinion that Mr. Soparkar rightly submitted that the Tribunal was justified in allowing the appeal of the assessee, since, even if the provisions of Section 158BFA of the Act are seen in the light of the decision of the "CIT v. Smt. P.K. Noorjahan " (1997 (1) TMI 6 - SUPREME Court ), the provisions of law uses the word 'May' and not the word 'Shall', which is the interpretation put forward by the Tribunal and the same does not call for any interference at the hands of this Court. Thus the ITAT was right in law and on facts in deleting the penalty imposed u/s.158BFA(2) of the IT Act, 1961. Decided in favour of the respondent-assessee.
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